Finally, FG Extends 2017 Capital Budget to June 5

* Reviews requests for extension of VAIDS’ deadline

The federal government has finally extended the implementation
of 2017 capital budget to June 5, 2018, shifting forward the
conclusion of the capital vote spending by two months from the
March 31 cut-off date it earlier instructed ministries, departments
and agencies (MDAs).

The government, according to the Minister of Finance, Mrs. Kemi
Adeosun, is also reviewing requests for the extension of last
Saturday’s deadline for the Voluntary Asset and Income Declaration
Scheme (VAIDS).

There has been clamour for the extension of the capital
component of the budget by the National Assembly, which argues that
it is the requirement of the law.

In a circular dated March 28, 2018, signed by the
Accountant-General of the Federation, Alhaji Ahmed Idris, the
government noted that the extension was done to enable the MDAs
successfully implement the capital budget for 2017.

Besides, the government believed the extension would engender
probity, transparency, accountability and governance.

The circular with reference number: TRY A5&B5/2018
OAGF/CAD/026/V.111/170, which THISDAY obtained from a reliable
source, was sent to all permanent secretaries, chairmen of
parastatals, RMAFC, Secretary to the Government of the Federation,
Head of Service, directors-general/chief executives of
extra-ministerial offices and agencies, amongst others.

The circular titled, ‘Extension of Capital Budget 2017’, stated:
“Further to our earlier Treasury Circular Ref. No. TRY
A9&B(/20127 and OAGD/CAD/026/V/V.III/116 of 30th November,
2017, all Ministries, Departments and Agencies (MDAs) are hereby
informed that the implementation of the Capital Budget 2017 has now
been extended to 5th June, 2018 or the day the 2018 Appropriation
Act is passed into law and assented to by Mr. President, whichever
comes first. The extension is to ensure the successful
implementation of the capital budget for 2017 for a period of 12
months. It is also to promote probity, transparency, accountability
and governance in line with the policy thrust of the
government.”

The circular aligns with the position of Senate President Bukola
Saraki that the federal government should allow the implementation
of the 2017 budget run till the end of May 2018.

This was consequent upon the attention drawn by Senator Atai
Aidoko (PDP, Kogi East) to a circular the government issued to
MDAs, which stated that 2017 budget funds will be “mopped up” by
March 31, 2018.

Aidoko had argued that acting on the instruction in the circular
contravened the provisions of section 3(1) of the 1999 Constitution
as amended, pointing out that the section mandated that the budget
runs for 12 months after the presidential assent.

On the closure of accounts arrangements under the Government
Integrated Financial Management Information System (GIFMIS)
platform, the new circular stated that, “All MDAs in the GIFMIS
platform would automatically have their ledger periods and access
to their funds closed online real-time by 12 midnight of 5th June,
2018 or the day the Appropriation Act is passed into law and
assented to by Mr. President, whichever comes first.

Meanwhile, the federal government is reviewing requests by
states and the private sector for an extension of the tax amnesty
programme, the Voluntary Assets and Income Declaration Scheme
(VAIDS).

The tax programme, which expired yesterday, offered a nine-month
window of opportunity for tax payers to regularise their tax
liabilities.

Responding to media enquiries in Abuja, Adeosun said some states
of the federation and the private sector had asked for an extension
of the deadline in order to allow them more time to comply.

According to her: “The Federal Government is reviewing the
numerous extension requests by the states and the private sector,
which have cited some logistic challenges such as non-availability
of the declaration forms in some states and the declaration of
public holidays to commemorate Easter.”

She stated that tax evaders risk forfeiting their assets and
prosecution as she noted that the government’s data mining unit in
the Federal Ministry of Finance, Project Lighthouse, had compiled
data of tax payers from land registries from 36 States and Federal
Capital Territory as well as their bank accounts.

“We have also received tremendous support from foreign countries
which provided data under the exchange of information protocols.
The data include bank records and financial filings for tax
purposes,” Adeosun said.

* Reviews requests for extension of VAIDS’ deadline

The federal government has finally extended the implementation
of 2017 capital budget to June 5, 2018, shifting forward the
conclusion of the capital vote spending by two months from the
March 31 cut-off date it earlier instructed ministries, departments
and agencies (MDAs).

The government, according to the Minister of Finance, Mrs. Kemi
Adeosun, is also reviewing requests for the extension of last
Saturday’s deadline for the Voluntary Asset and Income Declaration
Scheme (VAIDS).

There has been clamour for the extension of the capital
component of the budget by the National Assembly, which argues that
it is the requirement of the law.

In a circular dated March 28, 2018, signed by the
Accountant-General of the Federation, Alhaji Ahmed Idris, the
government noted that the extension was done to enable the MDAs
successfully implement the capital budget for 2017.

Besides, the government believed the extension would engender
probity, transparency, accountability and governance.

The circular with reference number: TRY A5&B5/2018
OAGF/CAD/026/V.111/170, which THISDAY obtained from a reliable
source, was sent to all permanent secretaries, chairmen of
parastatals, RMAFC, Secretary to the Government of the Federation,
Head of Service, directors-general/chief executives of
extra-ministerial offices and agencies, amongst others.

The circular titled, ‘Extension of Capital Budget 2017’, stated:
“Further to our earlier Treasury Circular Ref. No. TRY
A9&B(/20127 and OAGD/CAD/026/V/V.III/116 of 30th November,
2017, all Ministries, Departments and Agencies (MDAs) are hereby
informed that the implementation of the Capital Budget 2017 has now
been extended to 5th June, 2018 or the day the 2018 Appropriation
Act is passed into law and assented to by Mr. President, whichever
comes first. The extension is to ensure the successful
implementation of the capital budget for 2017 for a period of 12
months. It is also to promote probity, transparency, accountability
and governance in line with the policy thrust of the
government.”

The circular aligns with the position of Senate President Bukola
Saraki that the federal government should allow the implementation
of the 2017 budget run till the end of May 2018.

This was consequent upon the attention drawn by Senator Atai
Aidoko (PDP, Kogi East) to a circular the government issued to
MDAs, which stated that 2017 budget funds will be “mopped up” by
March 31, 2018.

Aidoko had argued that acting on the instruction in the circular
contravened the provisions of section 3(1) of the 1999 Constitution
as amended, pointing out that the section mandated that the budget
runs for 12 months after the presidential assent.

On the closure of accounts arrangements under the Government
Integrated Financial Management Information System (GIFMIS)
platform, the new circular stated that, “All MDAs in the GIFMIS
platform would automatically have their ledger periods and access
to their funds closed online real-time by 12 midnight of 5th June,
2018 or the day the Appropriation Act is passed into law and
assented to by Mr. President, whichever comes first.

Meanwhile, the federal government is reviewing requests by
states and the private sector for an extension of the tax amnesty
programme, the Voluntary Assets and Income Declaration Scheme
(VAIDS).

The tax programme, which expired yesterday, offered a nine-month
window of opportunity for tax payers to regularise their tax
liabilities.

Responding to media enquiries in Abuja, Adeosun said some states
of the federation and the private sector had asked for an extension
of the deadline in order to allow them more time to comply.

According to her: “The Federal Government is reviewing the
numerous extension requests by the states and the private sector,
which have cited some logistic challenges such as non-availability
of the declaration forms in some states and the declaration of
public holidays to commemorate Easter.”

She stated that tax evaders risk forfeiting their assets and
prosecution as she noted that the government’s data mining unit in
the Federal Ministry of Finance, Project Lighthouse, had compiled
data of tax payers from land registries from 36 States and Federal
Capital Territory as well as their bank accounts.

“We have also received tremendous support from foreign countries
which provided data under the exchange of information protocols.
The data include bank records and financial filings for tax
purposes,” Adeosun said.