Governor Godwin Obaseki of Edo State, has signed an executive order to deepen investment in infrastructure and the social sector in the state through the Infrastructure Development and Social Investment Tax Credit Scheme Order 2021.
This was contained in a statement signed by the secretary to the state government, Osarodion Ogie, Esq.
According to Ogie, the tax credit scheme is a Public-Private Partnership (PPP) intervention that seeks to “enable the Edo State Government to leverage on private sector funding for the construction or refurbishment of eligible infrastructure and social projects in the State.”
His words: “It also focuses on the development of eligible infrastructure projects in an efficient and effective manner that creates value for money through private financing.
“It guarantees participants in the scheme timely and full recovery of funds provided for the construction or refurbishment of eligible infrastructure and social projects in the manner prescribed in this Executive Order.”
Ogie explained that the scheme is to run for a five-year period and participants are “entitled to utilise the project cost incurred in the construction or refurbishment of eligible projects as a credit against Personal Income Taxes and Withholding Taxes due to Edo State Government.”
A committee is to be set up to administer the scheme, which is to be known as “Infrastructure Development and Social Investment Tax Credit Scheme Management Committee” and it will be chaired by the Commissioner for Finance while the Executive Chairman, Edo State Internal Revenue Service will serve as the Deputy Chairman, with at least one representative of the private sector as a member.
The Permanent Secretary of the Ministry of Finance is to serve as the Secretary to the Committee.