What is the Pioneer Status Incentive?
Pioneer status is an incentive also referred to as “Tax Holiday” which is given by the government to a company granting the company tax relief for a number of years6. The Industrial Development Income Tax Relief Act (IDITRA) states that Pioneer Status is to be granted for an initial period of 3 years with a possibility of an extension for another 2-year period.
The essence of this Pioneer Status Incentive is to encourage indigenous and foreign investment in the Nigerian economy. It means that companies that have this Pioneer Status Incentive are exempt from paying tax for the number of years they enjoy the grant.
The benefit of this incentive is that it enables the company to be well established and to use the capital for the project in which they intend to work on. This increases productivity and also encourages foreign investment into the country. When investors are armed with the knowledge that they can enjoy tax exemption, it gives the foreign investor the boost work in the country.
Pioneer Status is granted by the Nigeria Investment Promotion Commission (NIPC).
618 Bees can help you quickly and easily obtain the Pioneer Status Incentive for your company. Log on to our website www.618bees.comor email firstname.lastname@example.org, or give us a call on +2349017190079. 618 Bees will complete your application with the NIPC.
The information in this blog post (“post”) is provided for general informational purposes only, no information contained in this post should be construed as legal advice, nor is it intended to be a substitute for legal counsel on any subject matter. No reader of this post should act or refrain from acting on the basis of any information included in, or accessible through this post without seeking the appropriate legal or professional advice from the particular facts and circumstances at issue from a lawyer. This post is protected by intellectual property law and regulations. It may however be shared using appropriate sharing tools provided that our authorship is always acknowledged and this Disclaimer Notice attached