BREAKING: Tinubu Suspends Telephone Tax, Customs Tarif, Others

President Bola Tinubu has taken steps to address concerns raised by manufacturers and other stakeholders regarding recent tax changes implemented by the administration of President Muhammadu Buhari.

In a bid to alleviate the burden on businesses and households, President Tinubu has signed four Executive Orders, one of which involves the suspension of the 5% Excise Tax on telecommunication services and the Excise Duties escalation on locally manufactured products.

The announcement was made by Dele Alake, the Special Adviser on Special Duties, Communications, and Strategy, during a press briefing at the Presidential Villa in Abuja on Thursday.

As part of the Executive Orders, President Tinubu also signed the Finance Act (Effective Date Variation) Order, 2023. This order defers the commencement date of the changes specified in the Act from May 23, 2023, to September 1, 2023. The deferral is in line with the 90-day minimum advance notice for tax changes outlined in the 2017 National Tax Policy.

Furthermore, President Tinubu signed The Customs, Excise Tariff (Variation) Amendment Order, 2023, which shifts the implementation date of the tax changes from March 27, 2023, to August 1, 2023. This decision aligns with the guidelines set forth in the National Tax Policy.

In addition to the suspension of the Excise Tax and Excise Duties escalation, President Tinubu also ordered the suspension of the newly introduced Green Tax on Single Use Plastics (SUPs), such as plastic containers and bottles. The Import Tax Adjustment levy on certain vehicles was also suspended.

Dele Alake emphasized that these orders were issued to mitigate the negative impacts of the tax adjustments on businesses and alleviate the burden on households across the affected sectors. He reiterated President Tinubu’s commitment to reviewing complaints about multiple taxation, local and anti-business inhibitions.

Assuring Nigerians, Alake stated that there would be no further tax raises without comprehensive and extensive consultations conducted within the framework of a coherent fiscal policy. He further assured that the Tinubu administration would continue to implement friendly policies aimed at stimulating business growth and prosperity in the country.