Residency is a key factor in taxation, since a taxpayer is generally liable to payment of taxes to the state where he is resident.
issue of residency is a topical one that deserves additional discourse. It
would appear that the residency rule which obligates a taxpayer to pay to the
relevant tax authority of where he resides still stands; what has now been
amended is the principal place of residence which should be considered when an
individual has more than one residence. A challenge with this amendment was if
camps, hotels or restrooms, provided for an oil company employee by his
employer for instance, qualify under the PITAM as a principal place of
residence, given the PITA that provides that a place of abode shall exclude
these places. The provision in the PITA still stands. Furthermore, an employee
who maintains dual residence would appear to have a right to exercise
discretion as to where he declares as place of residence in his employment
records with an employer; this appears to compound the problem. The employer is
bound in remitting the employee's PAYE to the relevant tax authority, in line
with the employee's emolument records, in accordance with the provision of the
Operation of PAYE Regulations S.S. 18 of
2002 No.104 and PITA.
Chapter one looks at the introduction, the definition of the term residence and determination of tax base on residence
Chapter two looks at the place of residence, duration of residence, duration of non-resident, compulsory payment of illegal taxes
Chapter three looks at the residence of a company, basis of taxes liability on individual/ companies in Nigeria, the law of Residence before the federal inland revenue service , the law under the federal inland revenue service , taxation of non resident, disputes as to determination of residence .
Chapter four looks at the criticism of the residence rule, conclusion and recommendation
This paper intends to examine this important factor, the rules involved and whether it is still relevant to taxation of companies and individuals.
Adedamola, O (2018). A Critique of the Residence Rule in Nigeria Policy, Law and Administration. Afribary.com: Retrieved April 26, 2019, from https://afribary.com/works/group-10-critique-of-residence-rule-of-taxation
Olawale, Adedamola. "A Critique of the Residence Rule in Nigeria Policy, Law and Administration" Afribary.com. Afribary.com, 22 Nov. 2018, https://afribary.com/works/group-10-critique-of-residence-rule-of-taxation . Accessed 26 Apr. 2019.
Olawale, Adedamola. "A Critique of the Residence Rule in Nigeria Policy, Law and Administration". Afribary.com, Afribary.com, 22 Nov. 2018. Web. 26 Apr. 2019. < https://afribary.com/works/group-10-critique-of-residence-rule-of-taxation >.
Olawale, Adedamola. "A Critique of the Residence Rule in Nigeria Policy, Law and Administration" Afribary.com (2018). Accessed April 26, 2019. https://afribary.com/works/group-10-critique-of-residence-rule-of-taxation