Tinubu Finally Scraps 5% Telcoms Tax On Voice, Data Services
The Federal Government has finally scrapped the 5% excise
duty tax previously imposed on telecommunications services, including voice
calls and data usage.
The controversial tax, which applies to both voice calls and
data subscriptions, was introduced under the administration of former President
Muhammadu Buhari in 2022 faced widespread criticism from both telecom operators
and consumer rights groups.
Executive Vice Chairman of the Nigerian Communications
Commission, Dr. Aminu Maida, who made this known, said President Bola Tinubu
ordered the removal of the tax during discussions on the recently passed
Finance Act.
Maida explained that the move is expected to ease cost
pressures for millions of mobile users in the country.
The NCC boss added that the President’s intervention was
aimed at preventing additional financial strain on citizens while supporting
the digital economy.
“The development is expected to bring relief to over 171
million active telecom users across the country, many of whom have faced a 50%
tariff increase implemented earlier this year,” he added.
It will be recalled that Telecom operators, under the
umbrella of the Association of Licensed Telecom Operators of Nigeria had warned
that the policy would be counterproductive because Nigeria already had one of
the highest tax burdens on the telecommunications sector in sub-Saharan Africa.