Customs In Talks With National Automotive Council To Review NAC Levy On Imported Vehicles

Customs in talks with National Automotive Council (NAC) over possible downward review of NAC levy on imported vehicles. 

Says it has written to the NAC seeking for the review of the levy, but noted that the final decision is beyond the Customs.

The Acting Comptroller-General of the Nigeria Customs Service (NCS), Mr. Adewale Adeniyi, has revealed that the Agency is currently in talks with the National Automotive Council (NAC) over a possible downward review of the NAC levy paid by vehicle importers.

While indicating that the agency has written to the NAC seeking for the review of the levy on new vehicles, the Customs boss noted that the final policy decision is beyond the Customs.

He stated :

“NAC levy goes beyond Customs, we are engaging the National Automotive Council, and we have written to the government to address it.

“If the Comptroller General can take action on it today, I will but I cannot because the Comptroller General did not introduce it.

“The levy was introduced by the Federal Government; we have to engage them explaining to them the need, the reason to review it and that is an ongoing process.

“We have a listening government and I believe they will review some of these policies.”

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Under the NAC, a levy of two percent of Cost of Insurance and Freight (CIF) is imposed on new vehicles imported into Nigeria while 15 percent is on second-hand vehicles, popularly known as as Tokunbo.

Back in July, the Acting Comptroller-General told some licensed customs agents at the Tin Can Island Port that he is aware that the issue of NAC Levy has caused a decline in volume of imported vehicles through the ports.

He assured that the Agency would put up a position on the issue of 15% National Automotive Council (NAC) Levy slammed on importation of vehicles under the administration of President Muhammadu Buhari.

The Customs CGC said :

“I have heard your concerns and the complaints which your representatives have put across to us, anybody who is in business wants to make profit, and there is no crime when you do business and you make profit.

“The NAC Levy and other ones are policies, we would also have a position on it and we would engage the government, the most important thing is for us to listen to you when you express these concerns and then we go and address it.

“Please give us time, we will address the issue of levy, we are also not happy with everything that is going on, the rate of importation is low, we know that vehicles are not coming as they were coming before and because of that, some of you are not getting as many jobs as you used to, I used to work here, so I know your pains and what you are going through”, he said.

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