The Buhari-led federal authorities has disclosed plans to implement a 5 per cent inclusive excise obligation on telecommunications providers in Nigeria.
This transfer will make Nigerians pay 12.5 per cent tax on telecommunications providers.
Minister of Finance Finances and Nationwide Planning, Zainab Ahmed made the announcement on Thursday July 28, at a stakeholders’ discussion board on implementation of excise obligation on telecommunications providers in Nigeria.
Talking on the occasion organized by the Nigerian Communications Fee (NCC), Ahmed who was represented by the Assistant Chief Officer of the Ministry, Frank Oshanipin, mentioned the 5 per cent excise obligation has been within the Finance Act 2020 however was not carried out.
The delay in its implementation in response to the Minister, was because of authorities’s engagement with stakeholders.
“Payments are to be made on monthly basis, on or before 21st of every month.
“The duty rate was not captured in the Act because it is the responsibility of the president to fix rate on excise duties and he has fixed five per cent 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.”