A young Nigerian lady has sparked widespread online discussion after publicly lamenting the substantial Value Added Tax (VAT) and consumption tax added to her restaurant bill, a situation she attributes to the government's new tax policy in 2026.
Viral Complaint Over Hefty Tax Charges
The incident, which occurred on January 7, 2026, was shared by the TikTok user @auc_empire. She visited the popular Ile Iyan restaurant with a group. After their meal, the total cost of food for their table came to N181,000. However, the final amount requested for payment was a staggering N203,000.
In a video expressing her frustration, the lady broke down the extra charges. She explained that the staff informed her the additional N22,000 comprised a 13.5% VAT (N13,575) and a Consumption Tax of N9,000. "Omoh, this 2026, I no wan understand this government policy," she exclaimed in the clip, questioning if this is how citizens are expected to spend the year.
She shared the receipt as evidence, showing the clear breakdown and the final sum paid, which has since gone viral.
Mixed Public Reactions and Clarifications
The lady's post triggered a flood of reactions from Nigerians online, with many offering conflicting perspectives on the charges.
Some commenters accused the restaurant of fraud. User ARA2 stated, "No more tax on food, they cheated you guys. The restaurant committee fraud by charging you VAT." Others, like HON.AJOBI AYOMIDE Z and OLALEKANBELLO2, claimed that such taxes at high-end restaurants like Ile Iyan are not new and have been in place for over two years, predating the 2026 tax reforms.
Several users provided crucial context. Slay with Lafindara clarified, "Consumption tax is a tax removed cos u eating there, if you buy take away they won’t remove consumption tax ooo…This one no be recent and not cos of govt policy." Another user, Aimasiko1, advised her to consult a tax consultant for proper enlightenment on the applicable rates.
The debate highlights a significant public knowledge gap regarding different tax types—VAT versus a specific consumption tax levied by establishments for dine-in services.
Broader Context of Nigeria's 2026 Tax Reforms
This incident occurs against the backdrop of the newly implemented tax laws in 2026, championed by the Tax Reform Committee chaired by Taiwo Oyedele. While the committee has worked to clarify the new policies, this event shows how they play out in everyday transactions, often causing confusion and financial shock for citizens.
The lady's experience is not isolated. Legit.ng has reported similar public grievances since the law took effect, including a man sharing his experience at the market and a lady who cried out over a N50 deduction from a N16,000 bank transfer.
The core issue remains transparency and consumer awareness. As officialnamedia pointed out, patrons should "Read their terms and conditions" before visiting such establishments to understand all potential charges.
This viral moment underscores the ongoing public adjustment to Nigeria's evolving fiscal landscape and calls for clearer communication from both the government and businesses regarding extra fees that ultimately affect the final price paid by the consumer.