15 April 2019
The Nigerian Investment Promotion Council (“NIPC”) recently released its Pioneer Status Incentive (“PSI”) Report for the fourth Quarter of 2018 (the “Q4 Report for 2018”), which among other things, outlines the total number of applications for PSI received, granted and declined. The Q4 Report shows that a total of nineteen new applications were received, whilst eight companies were granted PSI. In addition, three applications for extension were granted. Total number of PSI beneficiaries as at 31 December, 2018 stands at twenty-three companies.
The PSI Scheme grants fiscal incentives to companies operating in certain sectors of the economy pursuant to the Industrial Development (Income Tax Relief) Act and it is administratively regulated by the NIPC. There are currently ninety-nine industries which are entitled to apply for PSI including agriculture, mining and quarrying, manufacturing industries, electricity and gas supply companies, waste management companies, construction companies, textile industry, chemical and pharmaceutical products manufacturing companies.