Lawmakers to probe TETFund disbursements, education tax accruals

The house of representatives has ordered the Tertiary Education Trust Fund (TETFund) to provide a breakdown of its 2024 disbursements to beneficiary institutions.

The lawmakers have also asked TETFund to present its 2025 budget estimates for these institutions before implementation.

The resolution followed a motion moved by Sulaiman Gumi, a lawmaker representing Gummi/Bukkuyum in Zamfara, on Tuesday.

By law, TETFund is authorised to collect and utilise education tax from the assessable profits of all companies registered in Nigeria.

The tax is to be assessed and received by the Federal Inland Revenue Service (FIRS) for annual remittance to TETFund.

TETFund, among other statutory responsibilities, is tasked with administering and disbursing these tax funds to eligible public tertiary institutions for the advancement of infrastructure and research.

Gumi expressed concern over reported discrepancies in the accruals, collection, disbursement, and utilisation of education tax.

The house directed TETFund to submit audited accounts and receipts of beneficiary institutions from 2018 to date.

It also instructed TETFund to refrain from disbursing any funds until its 2025 budget has been scrutinised by the house.

The house mandated the FIRS to submit a list of education taxpayers and the total yearly amounts collected since 2011.

The committee on TETFund and other relevant committees were tasked with implementing the resolutions and reporting back to the house within four weeks.

The imminent probe of TETFund’s financials comes as a bill seeking to scrap the education tax is being considered by lawmakers.