The bill seeks to provide temporary relief to companies and individuals and alleviate the adverse financial consequences of a slowdown in economic activities as a result of COVID-19 by adopting a three-pronged approach:
The bill proposes to protect jobs by giving a 50% income tax rebate on the total amount due or paid as PAYE under the Personal Income Tax Act to any employer duly registered under the Companies and Allied Matters Act who maintain their employees between 1st March 2020 till 31st December 2020. This period may be extended by the President if the COVID-19 disease persists, subject to ratification by a majority of the members of the National Assembly.
Any reduction in the number of employees due to death, voluntary disengagement, or disengagement by virtue of a breach of the Labour Act are exempted under the bill. However, companies that are partly or wholly under the Petroleum Profit Tax Act are not eligible for this relief
The bill proposes that all mortgage payments under the National Housing Fund be deferred for a period of 180 days effective from 1st March 2020. This period may be extended by the President for a further 180 days subject to a majority vote by members of the National Assembly.
The bill proposes to grant waiver of import duty on medical equipment, medicines, personal protection equipment and other medical necessities required for the treatment and management of Covid-19 disease in Nigeria. This waiver period may be extended further by the President in exercise of his powers under the Customs & Excise Tariffs etc (Consolidated) Act.
The bill went through third (3rd) reading and passage at the House of Representatives.