THE Federal Government has dismissed reports suggesting that it has adopted or is considering new taxes on telecommunications services and petroleum products following the publication of the International Monetary Fund (IMF) Article IV Consultation Report on Nigeria.
News Point Nigeria reports that the clarification followed media reports claiming that the IMF had recommended that Nigeria extend Value Added Tax (VAT) to petroleum products and introduce excise duties on telecommunications services as part of efforts to boost revenue generation, finance development projects and support social spending.
However, in a statement issued on Wednesday by the Head of the Information and Public Relations Unit of the Ministry of Finance, Efe Ovuakporie, the Federal Government said such reports misrepresented the content of the IMF report and did not reflect its policy direction.
According to the statement, the IMF Article IV Consultation Report contains the Fund’s assessment of Nigeria’s economy and recommendations for consideration by the Nigerian authorities, but those recommendations 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 said.
The government further clarified that the Value Added Tax waiver currently applicable to petroleum products remains in force and has not been withdrawn.
It also explained that although existing legislation provides for a fuel surcharge, such a measure can only take effect through a ministerial order and subsequent 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.
On telecommunications services, the Federal Government stated that the excise duty introduced before 2023 has already been repealed under the country’s new tax laws and is therefore no longer applicable.
Against this backdrop, the government stressed that reports claiming that new taxes are being planned for telecommunications services or petroleum products are inaccurate and should be disregarded.
The statement reaffirmed that the Federal Government remains committed to reforms aimed at promoting economic growth, improving revenue administration and creating a more competitive environment for investment and job creation.
According to the government, the focus of its reform agenda remains on expanding economic activity, plugging revenue leakages and improving efficiency rather than imposing additional tax burdens on citizens.
“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.
News Point Nigeria reports that the clarification comes amid public concerns over the potential impact of additional taxes on the cost of living, particularly in key sectors such as energy and telecommunications, which directly affect millions of Nigerians.