Fuel VAT Waiver Still in Place, No New Telecom Tax, Says FG
The Federal Government has dismissed reports claiming it has approved or is considering the introduction of new taxes on telecommunications services and petroleum products following the release of the International Monetary Fund (IMF) Article IV Consultation Report on Nigeria.
In a statement, the government described the reports as misleading, stressing that they misrepresent the contents of the IMF report and do not reflect its policy direction.
According to the government, the IMF Article IV Consultation Report contains the Fund’s assessment of Nigeria’s economy and policy recommendations for consideration by the authorities. It emphasized that such recommendations are neither binding on Nigeria nor equivalent to government policy.
The government noted that decisions relating to taxation are made through established constitutional and legislative processes, guided by national priorities and prevailing economic conditions.
Clarifying concerns about fuel taxation, the government stated that the Value Added Tax (VAT) waiver on petroleum products remains in force and has not been withdrawn.
It also explained that while existing legislation provides for a fuel surcharge, the measure can only be implemented through a ministerial order and publication in the Official Gazette. It added that no such process is currently being considered.
According to the government, the continued suspension of such charges has helped cushion the impact of global energy price fluctuations on households and businesses while contributing to relative stability in domestic fuel prices.
On telecommunications, the government clarified that the excise duty introduced before 2023 has been repealed under the new tax laws and is no longer applicable.
It therefore urged the public to disregard reports suggesting that fresh taxes are being planned for telecommunications services or petroleum products, describing such claims as inaccurate.
The Federal Government reiterated its commitment to reforms aimed at promoting economic growth, improving revenue administration, attracting investment and creating jobs.
It added that its focus remains on expanding economic activity, plugging revenue leakages and improving efficiency rather than imposing additional tax burdens on citizens.
The government assured Nigerians that any future tax measures would be announced through official channels and implemented in accordance with the law.
