The Federal Government has debunked widely shared reports suggesting that it has adopted taxes on telecommunications services and petroleum products following the publication of the International Monetary Fund (IMF) Article IV Consultation Report on Nigeria.
The clarification comes after reports circulated that the IMF said Nigeria may need to extend Value Added Tax to fuel products and introduce excise duties on telecommunications services to raise the nation’s revenue.
However, the government claimed the reports misunderstood the content of the IMF study and did not reflect its policy orientation in a statement released on Wednesday by Efe Ovuakporie, Head Information and Public Relations Unit, Ministry of Finance.
“The IMF Article IV Consultation Report contains the Fund’s assessment of Nigeria’s economy as well as recommendations for consideration by the authorities.
“Those recommendations do not amount to government policy and are not binding on Nigeria. Decisions on tax matters are taken through established constitutional and legislative processes and are guided by national priorities and prevailing economic realities”.
The administration made it clear that the petroleum product Value Added Tax (VAT) waiver is still in effect and has not been revoked.
Gasoline Levy
Additionally, the statement noted that while existing laws permit a gasoline levy, the government can only introduce it through a ministerial order published in the Official Gazette.
Furthermore, the government clarified that the new tax laws have abolished the telecom excise duty introduced before 2023 and that the levy is therefore no longer in force.
Consequently, the statement dismissed claims that the government plans to impose new taxes on petroleum products or telecommunications services, describing such reports as “not factual” and urging the public to disregard them.
The statement added that, “The emphasis remains on expanding economic activity, plugging leakages and improving efficiency rather than placing additional tax burdens on citizens.
“Any future tax measures will be announced through official channels and implemented in line with the law”,
