In order to obtain a fresh $750 million loan from the World Bank, President Bola Tinubu's administration is thinking of waiving other fiscal restrictions on Nigerians, including the telecom tax that was suspended.

In addition to other taxes, the World Bank dossier states that the restoration of excises on telecom services and the EMT duty on electronic money transfers through the Nigerian banking system are also being explored.

Mr Tinubu suspended the five per cent excise duty on telecommunications and the Import Tax Adjustment levy on certain vehicles in July 2023. However, the document revealed that negotiations were underway between the World Bank and FG to secure the yet-to-be-approved loan.

The document said, “Domestic Revenue Mobilisation drive in the government ARMOR program seeks to increase revenue on some targeted industries and sectors of the economy. Specific groups and agencies within affected sectors include the Association of Licensed Telecom Operators of Nigeria: The introduction of excises on telecom services requires that all telcos are mobilised to fully participate in the collection of such revenue.

“Committee of Bankers: Introduction of EMT levy on electronic money transfers through the Nigerian Banking System would need the buy-in of all banking institutions.”

It noted that the Manufacturer’s Association of Nigeria (manufacturers of tobacco products, sugar-sweetened beverages and alcoholic beverages) that would be required to collect excises on their products “are critical stakeholders” for the introduction of the new excise regime.

The World Bank added, “They are currently organised into various sectoral groups under the Manufacturer’s Association of Nigeria. Producers of alcoholic beverages organised under the Distillers and Blenders Association of Nigeria also need to key into the reforms.

“Also, strategic partners involved in the importation of different items into the country will be mobilised to participate in the ARMOR programme. A key stakeholder group is the Association of Nigeria Customs Agents. Vehicle Importers and Manufacturers: Stakeholders in the automobile trade industry must be engaged in reforms involving the introduction of green taxes on high GHG emission vehicles.

“Local manufacturing and assembly of vehicles is growing through a phase of growth in Nigeria. The demand for vehicles is mostly met through importation by vehicle importers under the aegis of the Association of Motor Dealers of Nigeria.”

The financial institution explained that services that will be subjected to the newly introduced excises “are regulated by key public sector agencies” and that the “introduction of the new revenue measures will require the application of existing regulatory mechanisms available within these institutions.”

The concerned institutions include the Nigerian Communication Commission and the Central Bank of Nigeria.

“There are also agencies with the mandate for making policies on some of the issues covered in the ARMOR program concerning policy framework on matters of public interest in Health and Environmental Protection,” the document stressed. “The government institutions relevant to ARMOR in this regard are the Federal Ministry of Environment, the National Environmental Standards Regulatory and Enforcement Agency, and the Federal Ministry of Health.”

Outlining specific allocations for technical assistance, the document pointed out that the government program “is funded from annual budget allocations of $1.17 billion to FMF, FIRS and NCS. The PforR, with results-based financing of $730m and $20m investment financing, is 62 per cent of the program budget.”

“There will also be $10m for project management, tax policy capacity-building and other expenses. In total, the amount makes the $20m investment financing before the release of $730m in line with the fiscal targets met,” it added.

https://platinumtimes.ng/breaking-amid-economic-hardship-tinubu-govt-to-reintroduce-telecom-tax-on-nigerians/

Way to go. It's time to tax APC urchins to death.

This new tax will definitely favor me and my family.

We must raise the IGR by fire by force.

So, Tinubu will collect $750 million loan and we Nigerians will pay it back through tax on our phone use and increases in bank fees.

If that's not great and wonderful agbadonomics, I don't know what could be.

If world bank and imf ask tinubu to kill all Nigerians, he will agree without looking back.

Tax Route to renewed hopelessness

Present policies are really bitting hard on the Citizens,yet additional tax policy introduction.

Countries taxing Citizens worldwide are giving them back quality and friendly economy.

This APC is Bent on making life miserable for her Masses.

Welcome to the ZOO truly.

It seems the only thing accountants know how to do is to tax people! This is how Tinubu grew the IGR of Lagos. Agbadorians are online celebrating a huge IGR while real businesses are paying it and crying.

Woaw this man is doing well ooo, nice one

Tinubu has even given up on the trial and error method he was using with Cardozo

It seems the goal now is just to share commonwealth to his battalions

Sapasenator:
Way to go. It's time to tax APC urchins to death.

This new tax will definitely favor me and my family.

We must raise the IGR by fire by force.

😂😂😂

Hmmnm

Nigerians have not seen any meaningful of the formal they have been collecting and Tinubu is seeking another loan.

Renovated and renewed shege banza

Meanwhile, Agbadorians right now