Reps order Customs to stop ‘illegal’ import levy by June 30

Reps

The House of Representatives has directed the Nigeria Customs Service to stop the collection of the Comprehensive Import Suspension Scheme levy with effect from June 30, 2025.

The Chairman, House Committee on Customs and Excise, Leke Abejide (ADC, Kogi) issued the directive on Monday in Abuja during the 2024 budget performance review of N6.11 trn and 2025 budget defence of proposed N6.58 trn.

This is just as the African Democratic Congress lawmaker disclosed that the Committee will hold a joint sitting with the Senate Committee on Customs and Excise as well as the Minister of Finance and Economy, Mr Wale Edun, on Wednesday.

On behalf of the Committee, Abejide demanded an explanation for the Service’s inability to fully fund its personnel cost, overhead cost, and capital projects despite surpassing the total revenue projection for the year 2024.

He said, “This Committee is not unaware that CISS is not backed by any law in Nigeria. It is not in the Laws of the Federation of Nigeria, and even your 7 per cent cost of collection is equally illegal, as it is not in the LFN.

“Another shocking revelation is that from January to December 2024, 60% of the 1% comprehensive import suspension scheme, which was part of the revenue source to fund your overhead, personnel cost, and capital projects, recorded zero revenue.

“Also, payment was made to Web Fountaine Limited, which provided network and automation to NCS, but about 80% of these operations and work schedules have been taken over by the Nigeria Customs Service. Why are you not getting your share of 60% of the 1% CISS?
“The only legal source of income back by the Act of Parliament as signed by the President of the Federal Republic of Nigeria into Law and gazetted in LFN is the 4% Free-On Board which can be found in section 18(1a) of Nigeria Customs Service Act, 2023 (Federal Republic of Nigeria official Gazette No. 105 Lagos -9th June, 2023 Vol.110).

Talks began when Trouble started when Rivers lawmaker, Awaji-Iniombek Abiante, sought clarification about the legality of the 1% collection by NCS, stating that the CISS was “Not an Act of the parliament, but was handed to us by the military. And this is a democratic dispensation.”