Tertiary Education Trust Fund (TETFund) was established as an intervention agency under the TETFund ACT - Tertiary Education Trust Fund(Establishment, etc) Act, 2011; charged with the responsibility for managing, disbursing and monitoring the education tax to public tertiary institutions in Nigeria. To enable the TETFund achieve the above objectives, TETFUND ACT, 2011 imposes a 2 percent (2%) Education Tax on the assessable profit of all registered companies in Nigeria. The Federal Inland Revenue Service (FIRS) is empowered by the Act to assess and collect Education Tax. The Fund administers the tax imposed by the Act and disburses the amount to tertiary educational institutions at Federal and State levels. It also monitors the projects executed with the funds allocated to the beneficiaries.
The mandate of the Fund as provided in Section 7(1)(a) to (e) of the TETFUND ACT, 2011 is to administer and disburse the amount in the Fund to Federal and State tertiary educational institutions, specifically for the provision and maintenance of the following:
- Essential physical infrastructure for teaching and learning
- Instructional material and equipment
- Research and publication
- Academic staff training and development
- Any other need which, in the opinion of the Board of Trustees, is critical and essential for the improvement of quality and maintenance of standards in the higher educational institutions.
TETFund ensures that funds generated from education tax are utilized to improve the quality of education in Nigeria without direct contract awarding by:
- Providing funding for educational facilities and infrastructural development
- Promoting creative and innovative approaches to educational learning and services
- Stimulating, supporting and enhancing improvement activities in educational foundation areas like Teacher Education, Teaching Practice, Library Development, etc.
- Championing new literacy-enhancing areas such as scientific, information and technology literacy.