Nigeria's Senate Passes Bill to Impose a New Tax on Companies for Tertiary Healthcare Development

A bill for the establishment of a Tertiary Healthcare/Hospitals Development Fund has been passed by the Nigerian Senate. The objective is to fund the rehabilitation, restoration and consolidation of tertiary healthcare in Nigeria.

Functions of the Fund include provision and maintenance of infrastructure essential for tertiary healthcare delivery, health research, clinical training, disbursement to various tertiary teaching hospitals in Nigeria, monitor and evaluate execution of projects in relation to the Fund.

The following are the sources of funds into the Fund as contained under section 10 of the Bill:

1. take off grant provided by the Federal Government
2. money appropriated by the National Assembly
3. one percent (1%) of petroleum companies tax paid on total barrels of crude oil produced yearly
4. one percent (1%) of mobile phone service providers tax paid on airtime and data sold yearly
5. one percent (1%) of beverages and breweries companies tax paid on profit yearly declared
6. one percent (1%) of cement companies on profit yearly declared
7. one percent (1%) of paint and chemical manufacturing companies tax paid on profit yearly declared; and
8. one percent (1%) of tobacco companies tax paid on profit yearly declared.

Download a copy of the Bill here: Download Tertiary Hospitals Development Fund Bill 2021