Reps Seek Attorney-General’s Opinion on TETFund’s N123.48 Billion Refund Claim

The House of Representatives Public Accounts Committee will seek the Attorney-General of the Federation’s opinion on whether the federal revenue agency was entitled to retain a share of the education tax paid by oil companies between 2012 and 2024.

The Tertiary Education Trust Fund (TETFund) is seeking a refund of N123.48 billion, while the Nigeria Revenue Service says the deductions were lawful.

The dispute concerns a four per cent charge the revenue agency retained to cover the cost of collecting the tax.

TETFund’s director of finance and accounts, Gloria Olotu, told lawmakers that the charge should have applied only to the non-oil portion of collections.

She said the fund reviewed the deductions after the Auditor-General flagged discrepancies between collections and remittances.

Using figures supplied by the revenue agency, TETFund calculated the amount it says was over-deducted at N123,486,953,796.24.

NRS executive director Shettima Tamadi told the committee that education tax paid by oil companies qualified for the deduction because it was separate from Petroleum Profits Tax.

He said the agency did not apply the collection charge to Petroleum Profits Tax payments and maintained that no refund was due.

The committee, chaired by Bamidele Salam, adjourned the hearing pending written submissions and legal advice.

TETFund said it had already approached the Attorney-General and would share the response with lawmakers.

The committee will seek its own opinion before deciding how to proceed.

Its decision will address whether the fund should receive more of the education tax collected over the period under review, News About Nigeria reports.