On Monday, Mr. Wale Edun, the Minister of Finance and Coordinating Minister of the Economy, refuted claims that the Value-Added Tax (VAT) rate has been raised from 7.5% to 10%.
In an official statement, Edun affirmed that the VAT rate remains at 7.5%, in accordance with existing tax regulations.
“The current VAT rate is 7.5%, which the government applies to a range of goods and services subject to this tax. Neither the Federal Government nor any of its agencies will act against the stipulations of our laws.
“The tax system is built on three pillars: tax policy, tax laws, and tax administration. All three elements must work in harmony to create a robust system that strengthens the government’s fiscal position.
“Our priority as a government is to implement fiscal policies that foster strong and sustainable economic growth, alleviate poverty, and support business development.
“Recent media reports and opinion pieces regarding VAT have inaccurately suggested that the government aims to complicate life for Nigerians. This is not true. In fact, the Federal Government has shown its commitment to fostering a favorable environment for businesses to succeed.
“Notably, the Federal Government has recently suspended import duties, tariffs, and taxes on essential items such as rice, wheat, beans, and other food products to provide relief to Nigerians and businesses.
“To reiterate, as of today, the VAT rate remains at 7.5%, and this will be applied to all applicable goods and services,” Edun stated.
