On 31st December 2020, President Muhammadu Buhari signed the Finance Bill, 2020 (now Finance Act) into law. The Finance Act 2020 (the Act), which has a commencement date of 1st January 2021, was signed into law alongside the 2021 Appropriation Bill (now Appropriation Act).
The Finance Act, 2020 amends Sections 2, 24, 36, and schedule of Capital Gains Tax Act; Sections 11, 13, 14, 16, 23, 25, 27, 33, 39, 53, 55, 63, 68, 69, 77, 105 and Second Schedule of Companies Income Tax Act; Section 1 and Second Schedule of Industrial Development (Income Tax Relief) Act; Sections 20, 23, 33, 37, 48, 73, 86, 93, 106A, 108 and Third Schedule of Personal Income Tax Act; Sections 1, 10, and 11 of Tertiary Education Trust Fund (Establishment, ETC) Act; First and Second Schedule of Customs & Excise Tariff (Consolidation) Act.
The Act further amends Section 46 and Parts I-II of the schedule to the Value Added Tax Act. It introduces Section 2A and substitutes Section 10 of the Value Added Tax Act. It amends Sections 2 and 89 of the Stamp Duties Act while Sections 23, 25, 26, 39, 50, 69, and Fifth Schedule of Federal Inland Revenue Service (Establishment) Act were amended. It amends Section 18 of the Nigerian Export Processing Zones Act; Section 18 of Oil and Gas Export Free Zone Act, and Section 12 of the Fiscal Responsibility Act. The Act further amends Sections 22, 24, 25, 27, 30, 35, 58, 60 and substitutes Sections 15, 17, 20 and 36 of Public Procurement Act. The Act also amends Section 432 of the new Companies and Allied Matters Act, 2020.