The Nigerian government sector has surprised her again. Just after an entertaining election, the Nigerian government has decided to re-introduce a 5% excise duty tax on telecommunication services. This duty involves mobile and fixed telephone services, as well as internet services.
The tax was originally suspended in September of 2022 but has now been reinstated as part of the government’s fiscal measures for 2023. The government argues that the tax will help generate revenue to fund essential services and infrastructure projects.
Nigerians are concerned, however, about the impact it will have on their wallets. Inflation in Nigeria is already high, as the rate is rising to 22.04% in April 2023, and the reintroduction of the excise duty tax is expected to increase the cost of phone calls and data, putting further strain on consumers’ already tight budgets.
Telecommunication Providers’ Concern on New Tax For Data and Calls
Telecommunication providers have also expressed concern, stating that their customers will have to bear the cost of the new taxes, which is particularly worrying for providers already struggling to stay afloat due to the high cost of doing business in Nigeria.
To prepare for the impact of this new tax, Nigerians should stay informed about the details of the tax, including which services are included and how it will be implemented.
It is also important to reduce unnecessary expenses and switch to more affordable plans, as many providers offer special deals and promotions that can help consumers save money.
Finally, consumers can raise their concerns about the impact of the tax with their elected representatives and government officials to help ensure that their interests are taken into account.
By staying informed, reducing unnecessary expenses, and engaging with government officials, consumers can help mitigate the impact of the tax and ensure that their voices are heard and their concerns are addressed.
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