Senate rejects VAT increase

The Nigerian Senate has fully rejected the proposed 7.5% Value Added Tax (VAT) currently planned by the Federal Government to take effect by January 2020.

The disclosure of the rejection was made available by the former Senate Leader, Ali Ndume while speaking with newsmen after the plenary session on Wednesday. According to Ndume, the earlier VAT increase would ultimately create grave discomfort for larger percentage of Nigerians as the prices of goods and services were bound to hit the roof. Hence, it can not stand.

Meanwhile, the Senator disclosed that the lawmakers are seeking a legislative action to impose tax on Communication Services.

According to Ndume, the communication service tax shall be levied on such Electronic Communication Services like Voice Calls; SMS; MMS; Data usage both from Telecommunication Services Providers and Internet Service as well as Pay per View TV Stations.