The Federal Government on Wednesday moved to allay public concerns over reports linking it to proposed new taxes on telecommunications services and petroleum products, insisting that it has neither adopted nor is considering such measures despite recommendations contained in the International Monetary Fund’s latest Article IV Consultation Report on Nigeria.
The clarification followed widespread reports suggesting that the government was preparing to impose fresh taxes on fuel and telecommunications services based on proposals outlined in the IMF report.
However, the Federal Ministry of Finance said the reports were inaccurate and misrepresented the position of the government, stressing that recommendations made by the IMF do not automatically translate into official policy.
In a statement issued by the Head of the Ministry’s Information and Public Relations Unit, Efe Ovuakporie, the government emphasized that decisions on taxation remain the exclusive responsibility of Nigerian authorities and are subject to constitutional and legislative procedures.
“The Government has dismissed reports suggesting that it has adopted or is considering new taxes on telecommunications services and petroleum products following the publication of the International Monetary Fund Article IV Consultation Report on Nigeria,” the statement said.
According to the ministry, the IMF report merely contains the Fund’s assessment of Nigeria’s economic outlook and a set of policy recommendations for consideration by the authorities.
“The IMF Article IV Consultation Report contains the Fund’s assessment of Nigeria’s economy as well as recommendations for consideration by the authorities. Those recommendations do not amount to government policy and are not binding on Nigeria,” the statement added.
The ministry reiterated that any decision relating to taxation would be guided by the country’s economic priorities, fiscal objectives and prevailing realities.
“Decisions on tax matters are taken through established constitutional and legislative processes and are guided by national priorities and prevailing economic realities,” it stated.
Addressing concerns over fuel taxation, the government clarified that the Value Added Tax (VAT) waiver currently applicable to petroleum products remains in force and has not been withdrawn.
The ministry also explained that while existing laws provide for the possibility of a fuel surcharge, such a measure cannot be implemented without specific administrative steps, including a ministerial order and publication in the Official Gazette.
“It also noted that although existing legislation provides for a fuel surcharge, such a measure can only take effect through a ministerial order and publication in the Official Gazette. No such process is under consideration,” the statement said.
The government argued that maintaining the waiver and suspending related charges have helped cushion the impact of fluctuations in global energy prices on Nigerians.
“The continued suspension of these charges has helped cushion the effect of global energy price fluctuations on households and businesses while keeping domestic fuel prices relatively stable,” it added.
On the telecommunications sector, the ministry clarified that the excise duty previously imposed on telecom services had already been abolished under Nigeria’s recently enacted tax reforms and was no longer applicable.
“The Government further clarified that the telecommunications excise duty introduced before 2023 has been repealed under the new tax laws and is therefore no longer applicable,” the statement noted.
The ministry consequently urged Nigerians to disregard reports suggesting that fresh taxes were imminent in either sector.
“Against this backdrop, reports claiming that new taxes are being planned for telecommunications services or petroleum products are not factual and should be disregarded,” it stated.
Reaffirming the administration’s broader economic strategy, the government said its focus remains on expanding economic activity, strengthening revenue collection through efficiency, and creating a more attractive environment for investment and job creation.
“The Federal Government remains focused on reforms that promote economic growth, improve revenue administration and create a more competitive environment for investment and job creation. The emphasis remains on expanding economic activity, plugging leakages and improving efficiency rather than placing additional tax burdens on citizens,” the statement added.
The government further assured Nigerians that any future tax proposals would be communicated transparently through official channels and implemented strictly in accordance with the law.
The clarification comes amid heightened public sensitivity over taxation and cost-of-living concerns, with many Nigerians closely monitoring economic reforms aimed at boosting government revenue while mitigating pressure on households and businesses.
