President Bola Tinubu has signed an executive order suspending the 5% Excise Tax on telecommunication services and the escalation of Excise Duties on locally manufactured goods.
Thursday, Tinubu’s spokesperson Dele Alake announced during a press briefing at the State House in Abuja.
According to Alake, the President also signed the Finance Act (Effective Date Variation) Order, 2023, which delays the implementation date of the Act’s modifications from May 23, 2023 to September 1, 2023.
Alake explained that the development is intended to ensure compliance with the 2017 National Tax Policy’s 90-day minimum advance notice requirement for tax changes.
He also stated that Tinubu had signed the Customs, Excise Tariff (Variation) Amendment Order, 2023, which shifts the effective date of the tax changes from Monday, March 27, 2023 to Tuesday, August 1, 2023, in accordance with the National Tax Policy.
According to the presidential spokesman, Tinubu also ordered the suspension of the newly introduced Green Tax in the form of an Excise Tax on Single-Use Plastics, including plastic containers and bottles, and the Import Tax Adjustment levy on certain vehicles.
Alake remarked that the president issued these orders to mitigate the detrimental effects of the tax adjustments on businesses and households in all affected industries.
However, he reaffirmed President Tinubu’s commitment to evaluating complaints regarding multiple taxation, local restrictions, and anti-business restrictions.
Alake added that the administration of the president will continue to provide the necessary stimulus through business-friendly policies to enable businesses to flourish in the nation.
According to him, President Tinubu has assured Nigerians that there will be no further tax increases unless comprehensive and extensive consultations are conducted within a coherent fiscal policy framework.