FG Denies Plans to Introduce New Taxes on Telecom Services

FG Denies Plans to Introduce New Taxes on Telecom Services, Petroleum Products
Government said IMF recommendations are not binding on Nigeria.
VAT waiver on petroleum products remains in place.

The Federal Government has dismissed reports suggesting it is considering the introduction of new taxes on telecommunications services and petroleum products.

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EKO HOT BLOG reports that the clarification follows public reactions to recommendations contained in the International Monetary Fund (IMF) Article IV Consultation Report on Nigeria.

In a statement issued on Wednesday, the Head of the Information and Public Relations Unit at the Ministry of Finance, Efe Ovuakporie, described claims that the government plans to impose fresh taxes on Nigerians as false.

According to the ministry, reports linking the IMF recommendations to a new tax regime in Nigeria are inaccurate and should be disregarded.

Ovuakporie explained that the IMF’s recommendations are advisory in nature 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,” the statement read.

The ministry stressed that the contents of the IMF report do not reflect the policy direction of the Federal Government.

It further clarified that the Value Added Tax (VAT) waiver on petroleum products remains in place and has not been removed.

According to the statement, while existing laws provide for a fuel surcharge, such a measure can only be implemented through a ministerial order and publication in the Official Gazette.

“No such process is under consideration.

“The continued suspension of these charges has helped cushion the effect of global energy price fluctuations on households and businesses while keeping domestic fuel prices relatively stable,” the statement added.

The government also addressed concerns about telecommunications taxation, noting that the telecommunications excise duty introduced before 2023 has been repealed under the country’s new tax laws.

It said the excise duty is no longer applicable and remains removed from the current tax framework.

The ministry reiterated that the government remains committed to reforms aimed at promoting economic growth, strengthening revenue administration and creating a more attractive environment for investment and job creation.

It added that any future tax measures would be communicated through official government channels and implemented in accordance with the law.

“The emphasis remains on expanding economic activity, plugging leakages and improving efficiency rather than placing additional tax burdens on citizens.