FIRS Don Come Again! 10% Tax Go Now Chop From Short-Term Investment Interest

Omo! Federal Inland Revenue Service (FIRS) don drop new circular wey don scatter plenty investors’ table. From now on, any small money wey person dey make from short-term investment like Treasury Bills, Corporate Bonds, or Promissory Notes go face 10% withholding tax. In short, before you collect your interest, government go don first collect their share.

Before now, this kain short-term investment dey tax-free to ginger people make dem invest more. But FIRS say the holiday don end. According to dem, the new order go start dey work sharply—and banks, brokers, and other financial houses must begin deduct am from source.

People wey dey do Treasury Bills before go fit understand the pain: you fit dey expect small profit, but when you check your alert, you go see say “FIRS don pass greet.”

Investors Dey Para: “Make Government Leave Our Small Change!”

Many investors no dey smile at all. Some dey talk say FIRS just dey find where to collect money anyhow. One person even yarn say, “We never recover from fuel wahala, now FIRS don enter our interest money!”

True talk be say short-term bills na where many Nigerians dey hide small savings because e dey safe and quick to mature. Now wey 10% don enter the matter, e go definitely cut people profit. Some analysts don even talk say the policy fit make people shift to other investment options wey still free from this new tax.

But Federal Inland Revenue Service no send. Dem believe say na part of government effort to increase revenue and balance economy wey still dey find footing. After all, according to dem, tax na civic duty—even if e dey pain like injection.

FIRS Talk Say “No Be Wickedness—Na Orderliness”

Meanwhile, Federal Inland Revenue Service chairman, Dr. Zacch Adedeji, come out explain say the aim no be to frustrate investors but to make tax collection more structured. Him talk say anybody wey pay the tax go still get tax credit later, except e turn out say the deduction na final one.

He also confirm say Federal Government bonds still dey tax-free. Meaning say if you dey look for safe place to hide your money without “FIRS handshake,” government bond fit be your best bet.

But the warning loud and clear—banks and all “interest-payers” must obey this new rule or dem go face serious penalty. FIRS don talk say ignorance no be excuse o. So if you still dey collect your interest without tax deduction, no be miracle—na delay be that.