Tuesday, November 29, 2022

Telcos Kick As FG Plans 12.5% Call Tax

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Nigerian telecommunication consumers under the aegis of the National Association of Telecoms Subscribers have said the move by the Federal Government to increase the total consumption tax on telecom services to 12.5 per cent is irresponsible and ill-timed.

According to the association, Nigerians are already suffering as a result of harsh economic conditions and another tax on telecom subscribers will further impoverish many especially as telecom services are essential to everyone.

The Federal Government had on Thursday announce plans to implement a five per cent excise duty tax on telecoms services at a stakeholders’ forum on the implementation of excise duty on telecommunications services in Nigeria.

The Minister of Finance Budget and National Planning, Zainab Ahmed, stated this at the forum which was organised by the Nigerian Communications Commission

Ahmed, who was represented by the Assistant Chief Officer of the Ministry, Mr Frank Oshanipin, said the five per cent excise duty was in the Finance Act, 2020 but had not been implemented.

She said, 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 rates 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.

Credit -Punch Newspaper