Nigerian Customs Launches Crackdown on Improperly Imported Private Jets, Summoning Operators for Verification
Written by Jerry Alomatu on June 18, 2024
The Nigerian Customs Service, in collaboration with the Federal Government, has launched a new initiative aimed at cracking down on improperly imported private jets into the country. The operation will involve summoning over 80 private jet operators to appear at the NCS headquarters in Abuja with their aircraft import documents, Punch reports.
Scheduled to commence on Wednesday, the special aircraft import verification exercise is expected to span 30 days, as announced in a public notice issued by Customs. The objective of the exercise, as stated in the notice, is to identify private aircraft that have been improperly imported without proper documentation and to ensure compliance with import regulations to maximize revenue collection.
Private jet owners and operators are required to present relevant documents during the verification process, including the aircraft Certificate of Registration, Nigerian Civil Aviation Authority’s Flight Operation Compliance Certificate, NCAA’s Maintenance Compliance Certificate, NCAA’s Permit for Non-Commercial Flights, and Temporary Import Permit (if applicable).
This move comes after a previous suspension of similar actions by the Federal Government over a year ago. In recent years, there have been efforts to recover import duty from private jet operators who utilized technical loopholes to evade payment. While some operators complied and paid the required duty, many others have yet to fulfill their obligations.
It has been reported that several private jet operators exploited regulatory loopholes to obtain Temporary Import Permits (TIPs) from Customs instead of paying the statutory import duty. The indefinite extension of TIPs by some operators prompted Customs to initiate past clampdowns.
The current exercise is anticipated to lead to the payment of outstanding import duty, with consequences for operators who fail to comply. The import duty for private jets is typically five percent of the aircraft’s value, and failure to pay may result in grounding of the aircraft.
The Nigerian Customs Service, through its National Public Relations Officer Abdullahi Maiwada, confirmed the verification exercise and emphasized its commitment to ensuring maximum revenue collection for the Federal Government. However, the response to potential non-compliance from private jet owners remains uncertain.
Past attempts to collect import duty from private jet owners have faced legal challenges, with some operators seeking judicial review of the duty requirement. Despite previous efforts to recover unpaid import duty, the extent to which the new initiative will succeed in compelling compliance from private jet owners remains to be seen.
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Author: Jerry Alomatu
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