TINUBU SCRAPS 5% TELECOM CHARGE

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BY OWOLABI OLUWADARA

The proclamation was issued by the Executive Vice-Chairman of the Nigerian Communications Commission (NCC), Aminu Maida, during a press conference in Abuja on Tuesday.
Maida affirmed that the excise tax—previously deferred in 2023—has now been officially eliminated under updated national taxation regulations.
“The 5% excise duty is no longer applicable,” Maida indicated. “At first, it was merely suspended, but the President has now entirely rescinded it. I was present when the matter was addressed, and he decisively asserted, ‘No, we cannot impose this burden on Nigerians. ’ I was very gratified to witness that this directive was maintained in the new legislation. ”

The obligation, which pertained to mobile voice and data services, incited considerable opposition from both industry participants and consumer protection organizations, who contended that it would escalate the expenses of digital access and jeopardize the sustainability of telecom providers already confronting elevated operational expenditures. President Tinubu initially halted the tax in July 2023 as a component of a comprehensive fiscal policy reform intended to alleviate the effects of multiple tax obligations on enterprises and households. The moratorium was enacted through a series of executive decrees signed shortly after he took office. Nonetheless, the matter reemerged in October 2024, when the National Assembly proposed reimplementing the tax as part of broader revenue-enhancing strategies, which also encompassed levies on gaming, wagering, and lottery operations.

The proposal was met with strong resistance from the telecom sector.

The Association of Telecommunications Companies of Nigeria (ATCON) argued that reinstating the excise duty would undermine service affordability and hinder sectoral growth, particularly at a time when reliable internet access is increasingly vital to Nigeria’s economy.

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