Get Your Company to Enjoy Tax Incentives, Win Government Contracts By Contributing to Football Development in Nigeria - HOW?

I think this may be one of the most important article any business person in Nigeria would love to read, because it'll open your eyes to what has always been there, either most business people aren't aware of it, or they do not fully understand its provisions, but it is there to give your company or business a leveraging edge.

Did you know your company can enjoy tax incentives, be first choice for government contracts by just getting involved and contributing to football development in Nigeria?

 I didn't have a clear understanding of this subject myself, until I read the paper presented by Ifueko Omoigui Okauru, MFR, Former Executive Chairman, Federal Inland Revenue Service,  at The Congress Hall, Transcorp Hilton Abuja, then  I gained a lot information and exposition to this provisions enshined in the Inland Revenue Service Law.

Read it Here: "How Corporate Nigerians Can Maximize On The Provisions Of Tax Incentives For Private Sector Contribution To Sports Development In Nigeria."

Here, I will like to focus this discuss more on football sport!!

Government is interested in football development in Nigeria for two major reasons. First, It positively engages the people regardless of race, religion, age, gender, social class or ability, football activities  tend towards building love and cordial relationships. Somehow, it meets the needs of persons from all backgrounds. Beyond this,  it is one unifying activity that affects the political, economic and socio-cultural being in our country Nigeria.

Second, football is big business and the more successful the industry, the more of our talented citizens will be gainfully employed...of course, more tax revenues can be generated. Football business at this stage in Nigeria can be termed as a disruptive entreprise that has such potentials to cause changes that will help aliveiate poverty from many family lineage in the country. Therefore, the need to encourage individual and corporate organizations involved in the development of the sport at different level.

One may ask, why would the tax master be interested in supporting football and sports development?

Well, apart from the fact that we are all sports lovers, the reality is that tax officials see the tax revenue potential even when incentives are being granted to football contributors. Football can be developed to the extent that it becomes a major foreign exchange earner for the country. So the tax master is seeing ahead into the future by granting tax incentives (Rebate or Holiday) today.

Football is high capital intensive sports that government alone may not be able  to cater for,  but encourages private sector developing infrastructures and institutions; training personel  and  sponsorhip of competitions such as leagues, tournaments.... For instance, developing a community playground or supporting grassroots tournament could attract tax rebate for the company or business...if the inland revenue provisions are followed to the later.

Beyond Tax Incentives, Corporate organizations can also view their involvement in football from the perspective of Corporate Social Responsibility, that is, away from available incentives, to where their contributions to sports is seen as giving something back to the society that has enable their businesses to thrive.

In the long run, the benefits go a long way in ensuring that there are adequate sports infrastructure at all levels of engagement, high level research input into football, and private sector commitment to the development of this sector of the economy.

When Corporate brands sponsor football at the grassroots level such as Channels Kids Cup, GTBank Principal Cup Lagos State,  Zenith Bank Principal Cup Delta State...they are not just Corporate Social Responsibility (CSR) projects; they are double barrel business weapon...while these companies gain a lot of goodwill from such sponsorships, they also gain some tax incentives and it put them in better chance to win the bidding for government contracts.

HOW? Before you take up any support project or contributions to football development in Nigeria, I advise you to sit down with your Inland Revenue tax advisor and let him or her help interprete the provisions and show you how your company or business can take advantage of these tax rebate/holiday.

First, try and read Ifueko Omoigui Okauru's extensive documentation on this subject matter. Click here to Read Now

No comments