The Nigeria Customs Service has warned that designated banks that fail to remit collected customs revenue within the prescribed period shall be liable to penalty interest calculated at three per cent above the prevailing Nigerian Interbank Offered Rate for the duration of the delay.
This is even as the service lamented instances of delayed remittance of customs revenue by some designated banks following reconciliation of collections processed through the B’odogwu platform.
Announcing this in a statement on Wednesday, the National Public Relations Officer of the NCS, Abdullahi Maiwada, stressed that such delays constitute a breach of remittance obligations and negatively impact the efficiency, transparency, and integrity of government revenue administration.
The service emphasised that, in line with the provisions of the Service Level Agreement executed between the NCS and designated banks, “the Service hereby notifies stakeholders of the commencement of enforcement actions against banks found to be in default of agreed remittance timelines.”
“Accordingly, any designated bank that fails to remit collected customs revenue within the prescribed period shall be liable to penalty interest calculated at three per cent above the prevailing NIBOR for the duration of the delay. Affected banks will receive formal notifications indicating the delayed amount, applicable penalty, and the timeline for settlement,” the statement read in part.
According to the statement, the service further notes that persistent or repeated non-compliance with the terms of the SLA may attract additional sanctions, “including regulatory and administrative measures, as provided under the Agreement and relevant laws guiding Customs revenue collection.”
The NCS reiterates that prompt, accurate, and complete remittance of customs revenue is a fundamental obligation of designated banks.
The service highlighted that any payment of collected revenue into unauthorised accounts, whether deliberate or erroneous, will be treated as a serious violation and addressed in accordance with the SLA and applicable legal frameworks.
It maintained that designated banks are therefore advised to strengthen internal controls, ensure strict adherence to remittance timelines, and comply fully with the provisions of the SLA.
“The service remains committed to enforcing accountability, safeguarding government revenue, and promoting a transparent and predictable financial system in support of national economic development,” it concluded.
Under the Nigeria Customs Service Act, duties, excise taxes, and other customs fees are owed to the service and must be paid properly. If someone collects customs duties and fails to remit them, that person can be prosecuted and penalised (including fines and/or imprisonment).
This applies to intermediaries, including banks, that collect funds and do not remit them appropriately. This legal framework reinforces that banks acting as intermediaries must ensure that collected customs revenue is forwarded promptly and accurately.
