CAC Clears N1.2bn Tax Liabilities, Remits N485m into Federation Account

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Garba Abubakar

By James Emejo

The Registrar-General, Corporate Affairs Commission (CAC), Mr. Garba Abubakar, Monday said the commission has fully settled tax liabilities particularly pay as you earn (PAYE) amounting to N1.2 billion.

He also said CAC has remitted an outstanding sum of N485 million as operation surpluses into the federation account, adding that the commission remained a responsible corporate institution which pays its operating surplus as and when due.

Speaking during an interactive session with journalists, he said he had inherited about N4 billion in tax and staff pension liabilities on assumption of office in January.

He said of the outstanding operating surplus, the sum of N100 million was paid last year, while the balance of N385 million was remitted within 2020.

He however said the operating surplus for 2019 was still being calculated and will be remitted in due course.

Abubakar’s clarification followed misleading media reports that the commission had been indicted by the National Assembly as one of the agencies in default of complying with the Fiscal Responsibility Act (FRA).

He explained that contrary to reports, the commission had generated the sum of N36 billion in 2017 as against N56 billion being reported, adding that revenue projections are not necessarily realisable targets.

He said the commission had nothing to lie about concerning its revenue generation especially with the Treasury Single Account (TSA) in operation.

He also said the commission had been to date with its tax and pension obligations, stressing that outstanding pension contribution dating back to 2018 had all been cleared.

He however explained that pension liabilities for 2019 could not be settled as it was not budgeted for in the 2020 financial period, adding that this will be accommodated in the 2021 appropriation.

He expressed regret that staff pension were not remitted in the past, assuring Nigerians that the commission will henceforth be run according to best practices.