Reviewing the PHC Fund in the revised PIB (2)

It is important to stress that requiring upstream companies to contribute 10 percent of their net profits to the PHCF will effectively raise the current petroleum profit tax (PPT) rate from 85 percent to 95 percent or increase the proposed Nigerian Hydrocarbon Tax (NHT), which will replace the PPT, from 50 percent to 60 percent. This is into the proposed Companies Income Tax (CIT) which is set at 30 percent, the 10 percent withholding tax on dividends and the 2 percent education tax. Did the drafters of the bill overlook the implication of the increased tax rate for investment in the oil industry
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