Lafarge, Honeywell, 34 others enjoy three-year tax holidays

Technology News

Lafarge Africa Plc, Honeywell Flour Mills Nigeria Plc, Dangote Sinotrucks West Africa, and 34 other firms have been identified as companies currently enjoying Pioneer Status Incentive of the Federal Government.

The Nigerian Investment Promotion Commission in its third-quarter report on Pioneer Status Incentive applications made public on Wednesday stated that 60 applications for PSI had been abandoned.

This, according to the commission, is because the companies have not responded to request for additional information in nine months.

In the report, six new Pioneer Status Incentive was granted by the agency recently.

The new approvals were given to Savannah Sugar Company Limited, Daily Need Industries Limited, Tribute Lifestyle Global Concept Limited, Kalambaina Cement Company Limited, Wells Hosa Greenhouse Farms Limited, and Honeywell Flour Mills Nigeria Plc.

As of September 30, 2020, NIPC said a total of 37 companies were still enjoying the incentives while 102 applications were still pending.

The Pioneer Status incentive grants companies carrying out certain approved activities a relief from payment of Companies Income Tax for up to five years.

The pioneer holiday is usually granted for a period of three years in the first instance, after which it can be renewed up to two additional years.

The report on PSI applications processed between July 1 and September 30, 2020, stated that Lafarge Africa Plc, which manufactures cement, lime, plaster whose incentive was granted on January 1, 2018, and would expire on December 31, 2020.

The report stated that Honeywell, which produces starches and starch products, was granted the incentive on April 4 this year and would expire on March 31, 2023.

Source: The Punch

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