FG Urged to Strictly Commit Sugar Tax Proceeds to Health Project
James Emejo in Abuja
Stakeholders in the health sector including civil society groups have called on the federal government to ensure that the proceeds from the newly introduced Sugar-Sweetened Beverage (SSB) tax are strictly used to fund health intervention projects for the benefits of Nigerians.
THISDAY gathered that the Nigeria Customs Service (NCS) has since June 1, 2022 commenced the implementation and enforcement of the tax.
The federal had introduced of a N10 per liter excise tax on all non-alcoholic, carbonated and sweetened beverages in the 2021 Finance Act.
The stakeholders gave the charge at the policy breakfast meeting on the SSB, which was attended by high-level officials and representatives from the Federal Ministry of Health, Federal Ministry of Finance, Budget and National Planning, National Assembly, Nigeria Customs Service, World Bank and a coalition under the National Action on Sugar Reduction (NASR).
Their request came against the backdrop of confirmation by both Chief Superintendent of Customs (CSC), Dennis Ituma and CSC, Opeyemi Itulua, that enforcement of the regulation had commenced in earnest early last month and that companies are expected to start remitting the first set of appropriate taxes to the government on/or before July 21.
He stated that the customs had been meeting with the finance ministry over the sugar tax adding that the former had gone far with its implementation.
Ituma said the law required companies to remit the taxes from carbonated drinks on monthly basis, stressing that the revenues would then be transferred into the federation account.
However, reacting to the plea by the stakeholders that the monies be invested specifically in the health projects to boost infrastructure, a representative of the Federal Ministry of Finance,Budget and National Planning, Mr. Musa Umar, pointed out that their request could not be guaranteed at the meeting and advised them to refer the matter to the higher authorities including political office holders and the ministry of health for proper attention.
