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October - December 2019, Vol. 51, No. 5 Building Nigeria ICAN Unveils Integrated For Sustainable Reporting Committee to Attract Growth And More Investors to Nigeria The Use of Tax Strategies by Development Global Economies to Drive Growth CONTENTS FROM THE REGISTRAR Accounting And Ethics Series 2 page 6 BUSINESS Effectiveness of Regulations in Building Effective Institutions in Nigeria page 9 Business Partnering Skills to Increase the Organization’s Bottom Line page 12 CORPORATE GOVERNANCE 09 44 The Regulatory Maze in the Finance Sector: Corporate Governance, Accounting, Auditing and Insolvency page 14 CONFERENCE Integrity and Meritocracy: The Imperative For Political Leadership page 17 49th Annual Conference: Experts Identify Transparency, Accountability As Indispensable Anti-Corruption Strategy page 22 30 64 Communique Issued at the End of the 49th Annual Accountants’ Conference page 26 TAXATION Leveraging Information Technology for Tax Administration. Can Nigeria Do it? page 30 The Use of Tax Strategies by Global Economies to Drive Growth page 33 NEWS Okwuadigbo Advocates Universities’ And Labour Collaboration To Tackle Economic Challenges pg 42 38 ICAN urges National Assembly To Facilitate Bills that Promote Professionalism, Human Capital The Nigerian ACCOUNTANT - ISSN 00048-0371 Development. page 43 is published quarterly by THE INSTITUTE OF CHARTERED ICAN to Review Syllabus In Response ACCOUNTANTS OF NIGERIA (ICAN) To Technological Disruptions page 49 HEAD OFFICE INTEGRATED REPORTING Plot 16, Idowu Taylor Street, Victoria, Island Lagos ICAN Unveils Integrated Reporting Committee P.O.Box 1580, Tel: 09053847510, 09053847511 to Attract More Investors to Nigeria page 53 Email: [email protected], Website: www.icanig.org INFORMATION TECHNOLOGY ANNEX OFFICE Traditional ERP vs. Cloud ERP 82, Murtala Mohammed Way, Ebute Metta, Lagos. Tel: 09053847513 – A Paradigm Shift page 55 FROM OTHER BODIES The views expressed by correspondence or contributors in this Journal are no necessarily those of the Institute. By making submissions to The Nigerian New Global Survey Reveals Digital Accountant, the contributors undertake that the contributions are original Transformation, Talent Management As Key and have not been accepted or submitted elsewhere for publication. To Growth For Small Accounting Firms page 60 The institute reserves the right to return, cancel, amend or suspend an advertisement or insertion and no liability can be accepted for loss arising IFAC page 63 from non-publication or late publication of any advertisement or insertion. All articles are subject to editing HEALTH Copy right. No part of this publication may be reproduced without the prior 7 Health Benefits of Eating Cucumber page 64 written permission of the publisher. 3 I THE NIGERIAN ACCOUNTANT October - December 2019, Vol. 51, No. 5 THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA Established by Act of Parliament 15No 15 of 1965 OFFICERS AND COUNCIL MEMBERS VISION STATEMENT (2019 - 2020) To be a leading global PRESIDENT professional body Nnamdi Anthony OKWUADIGBO (Mazi), BSc, FCA VICE PRESIDENT MISSION STATEMENT Onome Joy ADEWUYI (Mrs), BSc, MSc, FCIB, FCA To produce world-class ST chartered accountants, 1 DEPUTY VICE PRESIDENT Regulate and continually Comfort Olu EYITAYO, HND, PAA, ACP, MNIM, mni, FCA enhance their ethical standards 2ND DEPUTY VICE PRESIDENT and technical competence in Tijjani Musa ISA, (Mallam), Bsc, MIoD, FCA the public interest. IMMEDIATE PAST PRESIDENT Razak JAIYEOLA, (Alhaji), BSc, ACFE, CRISC, FCA HONORARY TREASURER Oyemolu Olugbenga AKINSULIRE (Chief), MSc, MBA, FNIM, FCA ICAN CENTRE Plot 12 Kofo Kasumu Street, MEMBERS Amuwo Odofin, Lagos Oluwatobi Ayodele ABIOLA, HND, BSc, FCA ICAN LIAISON OFFICES Titilola Ariyike Nurat AKIBAYO, (Alhaja),MBA, FCIT, FCA Davidson Chibuike Stephen ALARIBE, (Chief), MA, CFA, MNIM, FCA ABUJA Chibuzor Noel ANYANECHI, (Chief), BSc, MBS, FCA Akintola Williams House Plot 2048, Michael Okpara Way Deji AWOBOTU, (Dr), M.loD,FCA Zone 7, Wuse , Abuja Felicia Aina BAMGBOSE, FCA Tel: 09-8722302, 07034520270 Adaku Chilaka CHIDUME-OKORO, (HRM), BSc, MSc, FCA Email: [email protected] Samson Adewale DISU, (Rev), MSc, FCA [email protected] Jude Sunday EGBO, HND, MBA, FCA, Contact Person- Mr Yusuf Adamu Omehe Gadaffi Peter EHKORAGBON, HND, FCA KADUNA Nasiru MUHAMMADU, BSc, MSc, FCTI, FCA 3, Kanta Road, Alli Turaki House Sylvester NWANNA,(Mr) FCA Kaduna Godwin OBAJE, (Navy Capt.) FCA Tel: 08036788275 Seun ODERINDE,FCA Email: [email protected] Contact Person- Mrs A. A. Adegoke Olutola OGUNDIPE, B.Engr. FCA Monica Ngozi OKONKWO, MSc, ACIB, FCA KANO Innocent OKWUOSA, MSc, ACIB, FCA Murtala Muhammed Library Complex Ahmadu Bello Way Jamiu OLAKISAN, B.Sc, ACS, FCA P.O.Box11283, Kano Tajudeen Adewale OLAYINKA, BSc, MBF, FCA Tel: 08035900399 Etofolam Felix OSUJI, (Dr.), mni, MSc, FCTI, FCA Email: [email protected] Hilda Ofure OZOH, MBA, FCA [email protected] Queensley Sofuratu SEGHOSIME, mni, MBA, FCA Contact Person- Mr A. H. Umaru Haruna Nma YAHAYA, (Alhaji) mni, Bsc, MBA, ANIM, FCA REGISTRAR/CHIEF EXECUTIVE John Irabor EVBODAGHE, MBA, FCA Prof. Ahmed Modu KUMSHE, Phd, FCA Registrar/Chief Executive Designate JOINT AUDITORS PriceWaterhouseCoopers (Chartered Accountants) UHY Maaji Co. (Chartered Accountants) 4 I THE NIGERIAN ACCOUNTANT October - December 2019, Vol. 51, No. 5 EDITOR’S NOTE he Institute at its 49th Annual Accountants’ Conference Tgathered professionals from T H E N I G E R I A N March 2018, Vol. 51, No. 4 various walks of life to discuss how Accountant to strengthen institutional framework to support the anti- corruption drive of the government. The havoc corruption had wreaked EDITORIAL BOARD on Nigeria in the past made this CHAIRMAN discussion so imperative to forge Bunmi Owolabi Haruna N. YAHAYA (Mallam) mni, FCA ahead in the fight against the monster in our society. T h e r e w e r e s e v e r a l o t h e r DEPUTY CHAIRMAN presentations at the conference such Hon.Nasiru Muhammad, FCA The theme of the conference, as: ‘’Path to Overcoming Security and “Building Nigeria for Sustainable Infrastructural Challenges in MEMBERS Growth and Development” and other Nigeria’’; ‘’Disruptive Innovations: Efe Ovrawah, FCA workshop and plenary session Challenges and Opportunities in the Augustine Ojeh, FCA p re s e ntat i o n s p rov i d e d t h e Accounting Profession’’; ‘’The FIRS John A. Oyetade, FCA necessary lead to what the Power of Substitution: Critical Review Ogbuokiri Elijah, FCA government requires to win its war and Matters Arising’’, Public Chukwuma L. Uguru,FCA against corruption. Accountability: A Driver of Prince U. Elendu, FCA Transparent Leadership and Odigie Omoruyi, ACA The renowned Kenya anti-corruption Governance as well as “Integrity and Fadamitan Gbenga Ezekiel, FCA czar, Professor Patrick Lumumba in Meritocracy: The Imperative for Justice Sunday Ogbaragu, FCA h i s l e a d p a p e r e n t i t l e d Political Leadership; Sustainability: Dr. Ben Ukaegbu, FCA “Strengthening Institutional G l o b a l D e v e l o p m e n t s a n d EDITOR Framework to Support Anti- Opportunities for Nigeria and Bunmi OWOLABI Corruption Drive,” posited that Chartered Accountants”. reforms enhancing transparency and DEPUTY EDITOR accountability in state and economic The proceedings of the conference Dayo KOWE institutions are indispensable and other interesting articles as well ASSISTANT EDITOR ingredients of the anti-corruption as news items are presented in this Muyiwa DARE strategy. edition for your reading pleasure. MANAGER ADVERTS Declaring the Conference open, Our health page focuses on the Nkem JACOB President Muhammadu Buhari GCFR various health benefits of cucumber, who was represented by the which you might not be aware of. This Secretary to the Government of the is to remind us to give the necessary Correspondence should be Federation, Mr. Boss Mustapha, attention to our health. addressed to: lauded ICAN’s Accountability index Corporate Communications and the Institute’s contributions to Your comments on the various Directorate the socio-economic development of articles, news and other items THE INSTITUTE OF CHARTERED the country. published in this edition are ACCOUNTANTS OF NIGERIA welcome. Please send them to: (ICAN) Plot 16, Professional Centre Layout, He advised that governments at all [email protected] or Idowu Taylor Street, Victoria, levels should place high premium on [email protected] Island Lagos accountability by fully embracing the P. O. Box 1580, Tel: 0905384710, ICAN Accountability Index (ICAN-AI) 09053847511 Email: [email protected] programme. Website: www.icanig.org 5 I THE NIGERIAN ACCOUNTANT October - December 2019, Vol. 51, No. 5 FROM THE REGISTRAR Accounting And Ethics Series 2 Accounting And Ethics the fundamental principles of o r i s a s k e d t o p e r f o r m n the last edition of The ethics. He/she shall not knowingly supplementary or additional work, Nigerian Accountant, I dealt e n g a g e i n a n y b u s i n e s s , the existing accountant is bound by Iwith introductions and occupation, or activity that impairs confidentiality and will need to fundamentals of the subject. In or might impair integrity, obtain the client’s permission. You this edition, I will deal with how objectivity or the good reputation shall determine whether there are the fundamental principles will of the profession. any reasons, professional or otherwise, for not accepting the 2.6.1 PROFESSIONAL e n g a g e m e n t , s u c h a s APPOINTMENT circumstances that create threats 2.6.1.1 Client Acceptance t o c o m p l i a n c e w i t h t h e Before accepting a new client fundamental principles and cannot relationship, a professional be eliminated or reduced to an accountant in public practice shall acceptable level by the application determine whether acceptance of appropriate safeguards. would create any threats to compliance with the fundamental 2.6.2 CONFLICTS OF INTEREST principles as a result of any Where you provide a professional questionable issues with such service related to a particular client.