FGN to charge Fintechs #50 on every Transaction above #10,000

[Doan9269]

The Federal Government of Nigeria has made the announcement to the public with effect starting from 9th September 2024 that all transactions made starting from #10,000 and above each will be charged the sum of #50 as transaction fee, if we could recall that most of the Fintechs operating financial organizations offers a free transaction to all their customers, while some only charged as little as #10 after the free daily transaction limit has been reached.

1. With this development, is there any plan the government is aiming at, in utilizing the money earned by giving it back to the community development project which may benefit the masses.

2. Will people continue to make use of Fintechs as before since the major reason for choosing them have been conquered already.

[Asiska02]

1. With this development, is there any plan the government is aiming at, in utilizing the money earned by giving it back to the community development project which may benefit the masses.

The government are only trying to maximize how to get tax from all this fintech companies. No one is left behind when it comes to how this administration have taken the collection of tax very serious. I think this is going directly to the Federal Inland Revenue’s account as part of their duties as a revenue generation agency for the government, one of the biggest government bodies that collect tax from companies. I am not too surprised as this government will try and get the tax on an increase way of maximising the potential tax every company is entitled to pay.

2. Will people continue to make use of Fintechs as before since the major reason for choosing them have been conquered already.

This may be amongst the reason why fintech companies where chosen by Nigerians but I don’t think this move by the federal government will stop them from using it. I even enjoy using them more to the normal banks we’re used to for years. Their network is top notch and they hardly comes a time I find it difficult to access my account or had a serious problem while using the banks. I will say the N50 tax won’t make Nigerians stop using them, the government will only benefit more from Nigerians tht are using them on a daily basis.

[7juju]

I saw this coming already, because the number of people switching to making use of the Fintech is really growing and the federal government feels that they were missing out from the proceeds that these Fintech companies are making hence the reason for this instruction. Well I still believe that people are still going to make use of the Fintech because it's more reliable, fast and convinient. Since people are still going to be making use of banks to carryout transactions. It better to pay the #50 fee and have a fast service, than still pay same #50 in commercial banks and experience delay in services. To answer your other question, the government will admit that they will use the money to run the affairs of governance. But in actual sense you and I know that's not the case here.

[Marvelockg]

1. With this development, is there any plan the government is aiming at, in utilizing the money earned by giving it back to the community development project which may benefit the masses.

fintech are under the regulation of the FG and the federal government are just trying to benefit from the crowed of users that have switched from the regular banks to the use of the fintech. Charging N50 per N10'000 is not too much if they have a single plan of using the money for something meaningful in the society. But this one, after charging such amount from the millions of users that carry out transaction above that amount every day, we wouldn't see what the money is going into. We've gotten use to being taxed from the food we eat, the cloth we wear, the water we drink and literally all the things we do wee pay tax for it and no one allows himself to be held accountable for not utilizing the enormous money for the right purpose.

When I saw this I just smiled because I knew a time will come when all the fintech company will start experiencing series of regulations that will make it deficult for them to carry out thier business smoothly. Don't be surprised that in time to come, banks will liase with the federal government to see how to regulate the activity of fintech companies so they wouldn't take away all the customers that are supposed to be banking with the regular commercial banks.

[Marykeller]

You see this our present government, they are not leaving anything in the country unturned with  their increase tax payment. Anything(company) that existed on free basics or low charge in the past, this present government don change such vision to a new vision where those companies go d pay huge tax. That tax wey those companies go d pay to the government, na through our demands from those companies, we go indirectly d pay am through their charges. What more can we do, if not to kukuma to the use the services those Fintechs companies d offer to Nigerians, despite their high charges for transaction made

[iBaba]

You see this our present government, they are not leaving anything in the country unturned with  their increase tax payment. Anything(company) that existed on free basics or low charge in the past, this present government don change such vision to a new vision where those companies go d pay huge tax. That tax wey those companies go d pay to the government, na through our demands from those companies, we go indirectly d pay am through their charges. What more can we do, if not to kukuma to the use the services those Fintechs companies d offer to Nigerians, despite their high charges for transaction made

Wetin they pain me for our own matter for Nigeria be say, as government they try implement all these things, we wey be ordinary citizens they still suffer. I never see any government policy of recent wey don benefit us as people  and that have uplift us from the current hard economic inflictions we are passing through as people. This have continously make me ask when will things ever get better for us and when will we enjoy the fruit of our labour.

Inflation have risen more than twice it used to be in less than one year yet the income people have only become worse as the minimum wage have not even been implemented since it was announced. Now, you’re imposing charges on Fintech yet people won't be able to get the value of the services instead it makes businesses tough for the business people.

[Spaceman1000$]

The Federal Government of Nigeria has made the announcement to the public with effect starting from 9th September 2024 that all transactions made starting from #10,000 and above each will be charged the sum of #50 as transaction fee, if we could recall that most of the Fintechs operating financial organizations offers a free transaction to all their customers, while some only charged as little as #10 after the free daily transaction limit has been reached.

1. With this development, is there any plan the government is aiming at, in utilizing the money earned by giving it back to the community development project which may benefit the masses.

2. Will people continue to make use of Fintechs as before since the major reason for choosing them have been conquered already.

This tinubu administration has shown that they lack strategies on how to generate income to run the government, increase in taxation is the new revenue mobilization strategy they are deploying now,  we all know that there is no community development project that will be embarked on by the government, this is just a mechanism to collect money.

The government recognizes that most of the citizens have moved on to make transactions using fintech company platforms instead of our regular commercial Banks, so they've tactically extended their taxation initiative to them.

Of course people will continue to use fintech company as one of the major reasons why people have been using them is because of the flexibility and how fast their network is when making transactions, so this policies will not deter people from using them.

[Egii Nna]

I saw this coming already, because the number of people switching to making use of the Fintech is really growing and the federal government feels that they were missing out from the proceeds that these Fintech companies are making hence the reason for this instruction.

Well almost half of the people living in this country dey use this fintechs, na him be the main reason why dis government wan still go into the aspect be that, and i have two thought for that , the first one be say i think by so doing the revenue generated from this fintechs go help the economy and the whole country which i also though about the kind of leaders we have in we country ,nah them go later launder all the money wey dem collect from this fintechs any we go day hear on or two story wey no go help us at all, and that revenue suppose day useful for the poor people in the country oo.

I don't think this step is necessary, why not facing security and fuel problem wey we have for this country, how poor man go do should he be facing poverty or insecurity or hunger or this new FGN charges. I don't  really understand this our new administration.