Nigeria’s Minister of Finance, Wale Edun, has officially denied speculations of an increase in the Value Added Tax (VAT) to 10%, asserting that the current rate remains at 7.5%.
In a press statement issued on Monday, Edun clarified that the 7.5% VAT rate is consistent with Nigeria’s existing tax laws and has not been adjusted.
“The VAT rate is currently 7.5%, which is applied across a variety of goods and services where applicable,” Edun stated. He emphasized that neither the Federal Government nor its agencies would deviate from what the law prescribes.
Edun further explained that Nigeria’s tax system operates on three key pillars: tax policy, tax laws, and tax administration. “These three components must work in harmony to support the government’s fiscal objectives,” he said, highlighting the importance of sound tax management in promoting sustainable economic growth, reducing poverty, and fostering a business-friendly environment.
In response to some media reports suggesting otherwise, Edun reassured Nigerians that the government remains committed to easing economic pressures on citizens, not adding to them. “Some opinions in the media have incorrectly painted the government’s intentions as burdensome, but this is not the case. Our policies aim to support a thriving business landscape,” he added.
Edun also pointed out recent government actions aimed at economic relief, including the removal of import duties and taxes on essential food items such as rice, wheat, and beans, as part of efforts to alleviate the financial burden on Nigerians.
Keywords: Nigeria VAT rate, Wale Edun VAT statement, Value Added Tax 7.5%, Nigeria Finance Minister VAT clarification, import duties removal
