THE shipping arm of the Nigerian Liquefied Natural Gas Company, NLNG, Shipping Management Limited, SML has said that Nigerian seafarers are the only group of sailors that pay tax in the world.
Disclosing this at the annual conference of the Shipping Correspondents Association of Nigeria, SCAN, the Fleet Manager of the NLNG SML, Captain Yusuf Ambali, said that paying tax by Nigerian seafarers is against international best practice and suggested that the practice be stopped, as local sailors will continue to look out to other countries where crewmen are not taxed.
He stated: “It is only Nigerian seafarers in the whole world that pays tax to government; it is only in Nigerian that as a company, you are mandated to deduct his pension.
“I am going to turn the table back, imagine you as a seafarer, company A is going to pay a $100,000 and company B will pay you the same $100,000 but will deduct 24 percent tax and 18 percent pension, who would you work for?â€
Ambali also said that it is only when Nigerian seafarers’ certificate is accepted by other flag states that value can be added to the work of the sailor.
He explained that before any Flag State can accept the certificate of a nation’s seafarers, the a nation need to be on the white list of the International Maritime Organization, IMO, adding that for any country to be on the white list there are audit exercises that must be carried out.
He stated: “As far as I am aware, Nigeria has not requested for the audit to be carried out, the certificate currently being issued are allowed for local voyages within our coastal waters but to go on international vessels, particularly with the certificate of competency, you need other flag state to accept your certificate. And like I said, it is just a matter of us getting our maritime schools and institutions audited by the Nigerian Maritime Administration and Safety Agency, NIMASA and NIMASA getting other flag State to come and audit the schools.
“The maritime schools in Nigeria are at a level that will be accepted by the flag states because of some of the things we have experienced abroad with regards to maritime training.
“As I said earlier, it is a matter of deliberate approach by us Nigerians and also by the government to ensure that we market Nigerian seafarers.â€
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