Nigeria and Singapore have signed an agreement to stop double taxation between them following negotiations on the issue between the two countries last year.
Lara Afolayan reports that the agreement followed an approval of the federal executive council’s approval and authorisation.
The agreement spells out tax cuts accruable to the two nations in view of income derived from doing business together. The Nigerian authorities believe this will boost existing trade and economic ties between both nations.
They are positive prospective investors on both sides will now know their income tax obligations and incentives.
For the Singaporean government, this will definitely expand its pool of investments in Nigeria.
Singapore was selected as a suitable tax treaty partner for Nigeria because it is one of the world’s fastest growing economies with an impressive free market economy. Its volume of trade with Nigeria is valued at eight hundred and forty six billion naira with investments in excess of nine hundred and eight million dollars.