Insurance Brokers has been reckoned as the life wire for the tax paid by insurance companies, this fact was disclosed by Coordinating Director Compliance, Federal Inland Revenue Service, Dr. Matthew Gbonjubola. He represented the Chairman Federal Inland Revenue Service Mr. Zacch Adedeji at the inaugural lecture of the LASPOTECH Insurance Graduates Club in Lagos, tagged “Insurance Taxation in Nigeria, Issues and Solutions.”
Dr. Gbonjubola said brokers have earned value in the insurance service chain as the conduit pipe that channels insurance premiums to insurance companies accounting for 90% of the 2024 premium earned. Besides, he said insurance contribution in tax collected in 2024 was N20bn of the total N21.6tr which exceeded its initial target of N19.4tr by 11.34%.
Giving the brokers the nod, FIRS Director said, “The importance of the insurance brokerage sector in the economy and the tax system cannot be ignored. The Nigerian Council of Registered Insurance Brokers is a foremost player in the insurance industry, with over 500 members.”
Earlier, the President of LIGs Club and MD/CEO Multiple Bond Insurance Brokers Limited, Mr. Abiodun Durodola said that “taxation and its payment is a critical component of our industry, and it has far-reaching implications for insurance companies, policy holders and the economy as a whole. However, the current taxation regime in Nigeria poses significant challenges for insurance operators, from multiple taxation to inadequate tax incentives.
Confident for a review he said, “As we explore the issues and solutions surrounding insurance taxation in Nigeria, I hope that we will not only gain a deeper understanding of the complexities involved but also identify practical steps that we can take to advocate for positive change.”
Featured picture: L-R: Managing Partner, Gbenga Badejo & Co, Mr. Gbenga Badejo; Assistant General Manager (Finance/Compliance), Hogg Robinson Nig Limited, Mr. Kingsley Okoeguale; Guest Speaker and representative of Chairman, Federal Inland Revenue Service, Nigeria, Mr. Mathew Gbojubola; President, LASPOTECH Insurance Graduates Club (LIGs), Mr. Abiodun Durodola; Vice President, the Nigerian Council of Registered Insurance Brokers (NCRIB), Mrs. Funke Adenusi, mni; Chief Finace Officer, Linkage Assurance Plc, Dr. Emmanuel Otitolaiye and Chief Finance Officer, Scib Nigeria & Company Limited, Mr. Wale Okuyedi at the Inaugural Lecture organised by LIGs Club held in Lagos