The federal government is set to implement a five percent inclusive excise duty on telecommunications services in Nigeria, a move that will make Nigerians pay a 12.5 percent tax on telecommunications services.
Zainab Ahmed, the Minister of Finance Budget and National Planning made the declaration on Thursday, July 28, at a stakeholders’ forum on the implementation of excise duty on telecommunications services in Nigeria.
Speaking at the event organized by the Nigerian Communications Commission (NCC), Ahmed who was represented by the Assistant Chief Officer of the Ministry, Frank Oshanipin, said the five percent excise duty has been in the Finance Act 2020 but was not implemented.
According to the Minister, the delay in its implementation was a result of the government’s engagement with stakeholders.
“Payments are to be made on monthly basis, on or before the 21st of every month.
“The duty rate was not captured in the Act because it is the responsibility of the president to fix the rate on excise duties and he has fixed five percent for telecommunication services which include GSM.
“It is public knowledge that our revenue cannot run our financial obligations, so we are to shift our attention to non-oil revenue.
“The responsibility of generating revenue to run government lies with us all,” she said.
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