The Nigerian Petroleum Company Limited (NNPCL) withheld $262.6 million in taxes payable to the Federal Inland Revenue.
This is according to a report from the August 2024 meeting of the Federation Allocation Account Committee Post-Mortem Sub-Committee (PMSC).
As a result, the deducted $262.6 million is part of the Road Infrastructure Tax Credit Scheme (RITCS).
Between February and June 2024, NNPCL deducted $52.51 million per month from the sum owed to FIRS for Joint Venture, JV Gas, and Company Income Tax, CIT.
It noted that these deductions have been reserved for the RITCS, a system that allows private enterprises to invest in crucial road infrastructure while offsetting their tax liability.
“Members may recall that the Sub-Committee stated that NNPCL had deducted Road Infrastructure Tax Credit Scheme payments from the amount owing to FIRS JV Gas and CIT taxes. So far, a calendarized sum of $52,509,484.28 has been removed per month from February to June 2024, for a total of 262,547,421.40,” according to the report.
Recall that NNPCL requested that the Nigerian government pay a N2.6 trillion foreign exchange differential claim for petroleum imports between August 2023 and June 2024.
The development comes amid the ongoing debate over gasoline subsidy payments, which were phased off in May of last year.
Although the firm recently stated that it is not providing gasoline subsidies, but rather addressing fuel importation deficits between the company and the federation.
 withheld $262.6 million in taxes payable to the Federal Inland Revenue.){kind=link}