President Bola Tinubu in a bid to address concerns raised by manufacturers and other stakeholders regarding recent tax changes by the Muhammadu Buhari’s administration, has signed four Executive Orders one of which is the suspension of the 5% Excise Tax on telecommunication services as well as the Excise Duties escalation on locally manufactured products.
Special Adviser on Special Duties, Communications and Strategy, Dele Alake announced this on Thursday while addressing State House Correspondents at the Presidential Villa Abuja.
According to him, President Tinubu also signed the Finance Act (Effective Date Variation) Order, 2023, which now defers the commencement date of the changes contained in the Act from May 23, 2023 to September 1, 2023.
He explained that this is to ensure adherence to the 90 days minimum advance notice for tax changes as contained in the 2017 National Tax Policy.
President Tinubu also signed The Customs, Excise Tariff (Variation) Amendment Order, 2023, shifting the commencement date of the tax changes from March 27, 2023 to August 1, 2023 and also in line with the National Tax Policy.
Alake added that the President also ordered the suspension of the newly introduced Green Tax on Single Use Plastics (SUPs), including plastic containers and bottles.
President Tinubu also ordered the suspension of Import Tax Adjustment levy on certain vehicles.
According to Alake, the President issued these orders to ameliorate the negative impacts of the tax adjustments on businesses and chokehold on households across affected sectors.
He reiterated the President’s commitment to reviewing complaints about multiple taxation, local and anti-business inhibitions.
He assured that the Tinubu administration will continue to give requisite stimulus by way of friendly policies to allow businesses to flourish in the country.
He said the l President assured Nigerians that there will not be further tax raise without robust and wide consultations undertaken within the context of a coherent fiscal policy framework.
Details later…