President Bola Ahmed Tinubu has scrapped the 5% excise duty on telecommunications services, a decision contained in the new tax laws recently signed by his administration.
The announcement was made in a statement issued on Tuesday by the Presidency, highlighting the government’s determination to ease the rising cost of living and remove multiple layers of taxation that have long burdened Nigerians. According to the statement, the removal of the levy takes immediate effect and will be reflected in charges paid by subscribers for calls, SMS, and data services.
The excise duty, introduced under the previous administration, had been widely criticised by industry experts and consumer rights groups who described it as an unnecessary strain on millions of Nigerians already facing economic hardship. Its abolition, analysts say, could translate to a reduction in the cost of communication and internet services, thereby boosting productivity in key sectors such as business, education, and technology.
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Telecommunications operators are expected to adjust their billing systems to reflect the new directive, with the government stressing that it would closely monitor compliance to ensure subscribers fully benefit from the policy shift.
President Tinubu, in the statement, reiterated his administration’s commitment to implementing people-focused reforms that prioritise economic relief and sustainable growth. He assured Nigerians that further steps would be taken to simplify the nation’s tax system while encouraging investment and innovation.
The move has already been welcomed by subscribers who see it as a timely relief from mounting financial pressures.
