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

Garba Abubakar

James Emejo in Abuja

The Registrar-General, Corporate Affairs Commission (CAC), Mr. Garba Abubakar, yesterday said it had remitted the sum of N485 million as operation surpluses into the federation account.

He said it has also fully settled tax liabilities, particularly pay as you earn (PAYE), amounting to N1.2 billion, adding that the commission remained a responsible corporate institution which pays its operating surplus as and when due.

The RG said after reconciliation with the Office of the Accountant General of the Federation (OAGF), the sum of N485 million was remitted as operating surpluses for the period of 2014, 2015, 2016 and 2017, adding that it declared a loss in 2018 and was not eligible to make remittances for the year.

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 in 2020.

The register-general, 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 the reports, the commission had generated N36 billion in 2017 as against N56 billion being reported, adding that revenue projections are not necessarily realisable targets.

Abubakar 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.

Abubakar, 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 2021 appropriation.