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FG Plans 5% Duty On Recharge Cards by Islie: 6:37am On May 06, 2022
By Adeyemi Adepetun


While Nigerians are yet to come to terms with the planned 40 per cent hike in telecoms services tariffs by telecoms operators, it appears more pains will be inflicted in the coming days, as the report has it that the Federal Government has approved the collection of five per cent excise duty on telephone recharge cards and vouchers.

According to a report by TheCable, President Muhammadu Buhari actually gave the directive.

In a letter by the Association of Licensed Telecoms Operators of Nigeria (ALTON) to the Nigerian Communications Commission (NCC), the service providers had claimed that the economic challenges, rising energy costs, Russia/Ukraine war, among others, necessitated the need for them to hike the cost of calls, SMS, and data.

Based on ALTON’s proposal, the price floor of calls will increase from N6.4 to N8.95 while the price cap of SMS will increase from N4 to N5.61.

But in TheCable report, the five per cent charge is part of new items on the list of goods liable for excise duty on the Finance Act in the country.

Excise duty is a levy charged at the time of manufacturing. It is also a form of indirect tax on the sale or consumption of certain goods, products, services or activities such as tobacco, alcohol, narcotics, gambling etc., mainly to discourage their use and consumption. Nigeria’s Finance Act has extended the list to include beverages, and non-alcoholic drinks, among others.

According to the report, which made reference to a circular signed by the Minister of Finance, Budget and National Planning, Zainab Ahmed, that directed the Nigerian Customs to create a tariff line for the collection of the excise on mobile telephones, electricity meters (components) and set up boxes at five per cent.

The Federal Government is expected to raise at least N150 billion from the duty, while customs will pocket about N10 billion, a seven per cent collection fee.

The circular conforms to another list of excisable items by customs to include telephone recharge cards and vouchers at five per cent.

It was also gathered that the collection was part of new items on the 2020 Finance Act signed by President Buhari. Although no rate was not stated, it is clear that the President might have okayed the collection of the duty at five per cent as empowered to do by the Act.

A telecoms expert, Kehinde Aluko, said fixing telecoms tariff is not impromptu, it takes processes. “Consultants will be contacted, the processes could take a year. The current tariff they are currently operating with went through that rigour. So, even if their demand will be considered, it will also take a process which is not going to encourage an instant implementation.”

“As much as there are challenges in the country, necessitating so many drastic situations, I believe telcos can still manage. They are still declaring huge profits. I will say instead of hiking tariffs, they should look at other areas they can explore to bring in more earnings.”

When The Guardian got across to NCC to confirm this, a senior official, who crave anonymity said the commission could not confirm it, “but it is possible that such may be in the pipeline.”

A senior ALTON official, however, said the body was in the know that the Nigerian Customs Service was directed to come up with excise duty on some telecoms products and services, “but I don’t know how far they have gone. Will cross-check and get back.”

https://guardian.ng/news/more-worries-for-telecoms-subscribers-as-fg-plans-5-duty-on-recharge-cards/

Re: FG Plans 5% Duty On Recharge Cards by chatinent(m): 6:40am On May 06, 2022
It's not like all these taxes are used for infrastructural make-up. It's still going to end in personal pockets.

62 Likes 2 Shares

Re: FG Plans 5% Duty On Recharge Cards by mormoney85(m): 6:41am On May 06, 2022
Useless government

51 Likes 1 Share

Re: FG Plans 5% Duty On Recharge Cards by gozmok1(m): 7:25am On May 06, 2022
PETER OBI WAS A GUEST OF BEREKETE FAMILY TODAY. BEREKETE IS AN ABUJA RADIO 101.1 FM PHONING PROGRAM ANCHORED BY A MAN WITH STUDIO NAME; ORDINARY PRESIDENT. TRUE TO THE NAME OF THE PROGRAM ANCHOR HE PETER OBI THE GUEST, TURNED TO AN ORDINARY PRESIDENT OF NIGERIA. BELOW ARE SOME OF OBI'S SOUND BITES WHICH CAUTH ME SHADING TEARS AND WEEPING FOR NIGERIA. I WONDER IS NIGERIA CAN AFFORD TO MISS PETER OBI'S PRESIDENCY.

1. It is a mark of irresponsibility that our children are at home and we are campaigning - Peter Obi

2. We bought our tickets at 40million/100 million. Can Nigerians demand from candidates their annual in come taxes - Peter Obi

3. Nigeria is chairing 18 billion dollars from oil revenue while Malaysia is making 50 billion dollars from Diaspora remittance - Peter Obi

4. By 2030 the whole world will be in dire need of computer engineers and health professionals to the tune of 10 million people and our children are wasting at home - Peter Obi

5.Kwamen Nkuruma University Ghana is the best university in Africa and one of the best 50 in the world in science and Technology study - Peter Obi

6. If I become the President education in primary and secondary schools will be free while Tertiary education will not be free - Peter Obi

7. My first three priority as President will be education, education and education - Peter Obi

8. I will invest and invest in education and export graduates and increase diaspora remittance from 20 billion dollars - Peter Obi

9. As Governor of Anambra State I paid all Corps members serving in schools 4,000 naira on 24th of every month as stipend - Peter Obi

10. As Governor I paid every citizen of Anambra above age of 70 and residing in rural area a stipend of 5,000 naira every month - Peter Obi

11. When I assumed office as Governor, I discovered the that Anambra State have governor's Lodge at Abuja. I renovated the building and donated it to United nations free of charge. It eliminated our cost of maintenance and till today UN has been supporting Anambra State Government - Peter Obi

12. You can fight insecurity in two ways, natural insecurity is fought by creating job and institutional insecurity will be fought with Technology - Peter Obi

13. There is nothing like security vote in our constitution. What we have is contingency vote which should be max 4% of expenditure - Peter Obi

14. As Governor they brought security vote of 12.5 billion for approval annually. From there I gave each primary school in the sate 5 million each, secondly school 10 million each and supported five school of nursing and midwifery to get accreditation. Gave about 500 first class graduates from Anambra each 1 million Naira. All cost the state 10 billion. The remaing 2.5 billion was used as security vote which covered payment of security personnel at communities, bought vehicles for 200 communities in Anambra - Peter Obi

15. To create jobs banks must be made to give certain percentage of loans to SMEs - Peter Obi

16. I have a 28 years old son who works in UK and he has no car. He has to earn and buy himself a car - Peter Obi

17. My 30 years old daughter is a teacher in a secondary school and she is happy doing her work - Peter Obi

18. Throughout my 8 years as Governor, nobody of Obi family served in my government. I was the one elected and none of them. I take all responsibility of governance - Peter Obi

19. If as President, I don't steal, my wife and children don't steal, Corruption would have been cut by 50% - Peter Obi

20. The youths you neglect today will take a revenge on you tomorrow. #TAKE BACK YOUR COUNTRY# - Peter Obi. etc etc etc.

145 Likes 22 Shares

Re: FG Plans 5% Duty On Recharge Cards by Globad(f): 7:39am On May 06, 2022
5% is too low. They should make it 200%. Afterall every single person in Nigeria is a millionaire or multi millionaire.

Also, the proceeds from the tax will be judiciously used for infrastructure and security. This is why Nigeria is far more beautiful than Dubai and Singapore.

19 Likes

Re: FG Plans 5% Duty On Recharge Cards by Parachoko: 7:55am On May 06, 2022
gozmok1:
PETER OBI WAS A GUEST OF BEREKETE FAMILY TODAY.
Why don't you create a thread for this instead of spamming every thread with this same write-up.

Nigeria is really messed up. For Buhari to be allowed to continue ruling.

The only thing the man rightfully deserve right now is to be impeached and jailed for been so incompetent and bringing hardship on Nigerians.

31 Likes 3 Shares

Re: FG Plans 5% Duty On Recharge Cards by Mossadd: 8:05am On May 06, 2022
Thank God the hike will only affect anti government supporters government support will not be affected buhari govt must tax anything taxable to get more money to loot before handing over next year in bubu and Tinubu we trust

2 Likes

Re: FG Plans 5% Duty On Recharge Cards by NwaNimo1(m): 10:19am On May 06, 2022
They should also add 10% tax on fresh air.....

[img]https:///media/7-29-2015/5E5Dhh.gif[/img]

31 Likes 3 Shares

Re: FG Plans 5% Duty On Recharge Cards by Okunga: 10:20am On May 06, 2022
Put illiterates for power… Milking the common masses will be the order of the day…


2023 kowo pe !


These pictures has no correlation with the post , I just love them because they are super bad. cool

10 Likes 2 Shares

Re: FG Plans 5% Duty On Recharge Cards by Afokesco(m): 10:20am On May 06, 2022
Real Madrid proved that 2mins is long enough,
but these girls are complaining grin

8 Likes 1 Share

Re: FG Plans 5% Duty On Recharge Cards by tiswell(m): 10:20am On May 06, 2022
Fg dey craze fa sad

5 Likes

Re: FG Plans 5% Duty On Recharge Cards by Brendaniel: 10:20am On May 06, 2022
Tax, tax and keep taxing without anything to show for, then borrow to keep funding a bogus government...

1 Like

Re: FG Plans 5% Duty On Recharge Cards by olatade(m): 10:21am On May 06, 2022
Buhari Regime is determined to finish Nigerians, and some useless people are still rooting for APC.

11 Likes 1 Share

Re: FG Plans 5% Duty On Recharge Cards by id4sho(m): 10:21am On May 06, 2022
sad
More of this, Nigeria is broke. Numerous loans servicing, Taxation increasing. Masses on a long thing
Re: FG Plans 5% Duty On Recharge Cards by nairalee(m): 10:21am On May 06, 2022
Federal Government ma pa mi naa in shank's voice

2 Likes

Re: FG Plans 5% Duty On Recharge Cards by bmdmix13: 10:22am On May 06, 2022
Lol apc
Re: FG Plans 5% Duty On Recharge Cards by Sheuns(m): 10:22am On May 06, 2022
This FG is just making life tougher for most Nigerians, why will you tax and increase tariffs when the taxes paid by the people are not even felt by them? If we talk now their supporters will be quick to compare Nigeria to USA or UK in terms of taxes, while ignoring the better treatment the governments in those countries give their citizens.

8 Likes

Re: FG Plans 5% Duty On Recharge Cards by datola: 10:22am On May 06, 2022
Na wa o
Re: FG Plans 5% Duty On Recharge Cards by nautybride: 10:23am On May 06, 2022
shocked When the FG finishes with Nigeria, Nigerians will become bald.
They should enjoy it while it lasts. Scarcity will become surplus soon.

4 Likes

Re: FG Plans 5% Duty On Recharge Cards by treesun: 10:24am On May 06, 2022
Islie:


https://guardian.ng/news/more-worries-for-telecoms-subscribers-as-fg-plans-5-duty-on-recharge-cards/

Yesterday was PHCN increase, now this one. How will people cope! There will be reduction in usage, job loss is looming too!
Re: FG Plans 5% Duty On Recharge Cards by PresidentAtiku(m): 10:24am On May 06, 2022
LIFE GO PUNISH APC, ITS MEMBERS, LEADERS AND SUPPORTERS....

DISCOS ADD MONEY

NOW RECHARGE CARD WAN ADD MONEY

GODLIFE GO PUNISH UNA....

WICKED SETS OF DEMONS

4 Likes

Re: FG Plans 5% Duty On Recharge Cards by englishmart(m): 10:24am On May 06, 2022
grin
Re: FG Plans 5% Duty On Recharge Cards by Rawtruth1: 10:24am On May 06, 2022
God save us from APC. Ameen, Amen
Re: FG Plans 5% Duty On Recharge Cards by bouncin04(m): 10:24am On May 06, 2022
grin
Re: FG Plans 5% Duty On Recharge Cards by Beiii: 10:24am On May 06, 2022
Fg eh
Re: FG Plans 5% Duty On Recharge Cards by whisper88(m): 10:25am On May 06, 2022
F
Re: FG Plans 5% Duty On Recharge Cards by nairaman66(m): 10:26am On May 06, 2022
APC finally ran Nigeria to the ground!

3 Likes

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