The Federal Government of Nigeria has officially dismissed reports suggesting it is considering new taxes on telecommunications services and petroleum products. These reports emerged following the publication of the International Monetary Fund (IMF) Article IV Consultation Report on Nigeria, which some interpreted as indicating potential new revenue measures.
Government Clarifies Position
In a statement released on Wednesday, Efe Ovuakporie, Head of Information and Public Relations at the Ministry of Finance, clarified that the reports misrepresented the IMF report's content and do not reflect government policy. He emphasized that the IMF's recommendations are not binding on Nigeria and do not constitute government policy.
“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,” Ovuakporie stated.
Existing Tax Policies Remain
The government confirmed that the Value Added Tax (VAT) waiver on petroleum products remains in place and has not been withdrawn. This waiver has helped control price fluctuations and maintain stable domestic fuel prices. Additionally, while existing legislation provides for a fuel surcharge, such a measure can only take effect through a ministerial order and publication in the Official Gazette.
Regarding telecommunications, the government clarified that the excise duty introduced before 2023 has been repealed under new tax laws and is no longer applicable.
Focus on Economic Growth
The Federal Government reiterated its commitment to reforms that promote economic growth, improve revenue administration, and create a competitive environment for investment and job creation. “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,” the statement added.
The government urged the public to disregard reports claiming new taxes are being planned for telecommunications services or petroleum products, as they are not factual.
