The Federal Government of Nigeria has increased the excise duty rate on lager and stout by 87.50%, from N40 per litre in 2022 to N75 per litre in 2023.<\/p>\n
The government also imposed a 20 per cent ad valorem tax on the products.<\/p>\n
Ad valorem rates are based on the estimated value of the taxable products, as opposed to a fixed rate.<\/p>\n
An annual ad valorem tax has the fundamental characteristic of being proportional to the asset’s value.<\/p>\n
The federal government’s new fiscal policy measures (FPM) outline the rates of excise duties for the current year and include tax adjustments.<\/p>\n
The production, licencing, and sale of products are subject to excise tax.<\/p>\n
President Muhammadu Buhari approved new FPMs including supplementary protection measures (SPM), revised excise duty rates, and green taxes.<\/p>\n
The 2023 FPMs will supersede the 2022 FPMs, according to a recent circular signed by Zainab Ahmed, minister of Finance, budget, and national planning.<\/p>\n
The revised excise duty rates impose extra taxes on intoxicating beverages, cigarettes, and tobacco products.<\/p>\n
According to the circular, the government also imposed an ad valorem rate of 30 per cent on intoxicating wines in 2023, up from 20 per cent in 2022; and a specific excise duty rate of N75 per litre, up from N50 per litre in 2022 by 50 per cent.<\/p>\n
The ad valorem rate on spirits (whisky, cognac, vodka, and rums) increased to 30 per cent in 2023 from 20 per cent in 2022.<\/p>\n
The actual excise duty rate on spirits increased by 200 per cent, from N50 per litre in 2022 to N150 per litre in 2023.<\/p>\n
In the course of the year, a tariff of N300 per litre will be imposed on intoxicating beverages (beer, wines, and spirits).<\/p>\n
This represents an increase of 114.29 per cent from N140 per litre in 2022.<\/p>\n
According to the government, the new rates will go into effect on June 1, 2023, and be increased on June 1, 2024, concurrently with the current implementation period.<\/p>\n","protected":false},"excerpt":{"rendered":"
The Federal Government of Nigeria has increased the excise duty rate on lager and stout by 87.50%, from N40 per litre in 2022 to N75 per litre in 2023. The government also imposed a 20 per cent ad valorem tax on the products. Ad valorem rates are based on the estimated value of the taxable […]<\/p>\n","protected":false},"author":3,"featured_media":1823,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_seopress_robots_primary_cat":"","_seopress_titles_title":"","_seopress_titles_desc":"","_seopress_robots_index":"","footnotes":""},"categories":[37,35],"tags":[],"class_list":["post-1822","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","category-news"],"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/shakamomodu.com\/index.php\/wp-json\/wp\/v2\/posts\/1822"}],"collection":[{"href":"https:\/\/shakamomodu.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/shakamomodu.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/shakamomodu.com\/index.php\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/shakamomodu.com\/index.php\/wp-json\/wp\/v2\/comments?post=1822"}],"version-history":[{"count":1,"href":"https:\/\/shakamomodu.com\/index.php\/wp-json\/wp\/v2\/posts\/1822\/revisions"}],"predecessor-version":[{"id":1824,"href":"https:\/\/shakamomodu.com\/index.php\/wp-json\/wp\/v2\/posts\/1822\/revisions\/1824"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/shakamomodu.com\/index.php\/wp-json\/wp\/v2\/media\/1823"}],"wp:attachment":[{"href":"https:\/\/shakamomodu.com\/index.php\/wp-json\/wp\/v2\/media?parent=1822"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/shakamomodu.com\/index.php\/wp-json\/wp\/v2\/categories?post=1822"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/shakamomodu.com\/index.php\/wp-json\/wp\/v2\/tags?post=1822"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}