Stakeholders Reject Buhari’s Government Tax Hike

Posted by Thandiubani on Wed 03rd May, 2023 - tori.ng

According to stakeholders, the implication would lead to a revenue decline in the sector and a potential loss of jobs.

The introduction of excise tax by President Muhammadu Buhari’s administration has been rejected by stakeholders.

Stakeholders in Nigeria’s production, manufacturing and private sectors said such a move will bring more suffering on Nigerians.

The tax and excise duty provisions in the 2023 Fiscal Policy Measures of the federal government affect beverages, drinks, wine, imported vehicles, iron and steel products, domestic wine products, the tobacco industry and telecommunications services.

The tax introduction has been condemned by the Centre for the Promotion of Private Enterprise, CPPE, and the Organized Private Sector of Nigeria, OPSN, consisting of the Manufacturers Association of Nigeria, the Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture, the Nigeria Employers’ Consultative Association, the Nigerian Association of Small Scale Industries, and the Nigerian Association of Small and Medium Enterprises.

Director of CPPE, Muda Yusuf, in a statement on Tuesday, said tax and excise duty would exacerbate inflationary pressures detrimental to economic growth and manufacturing, construction and transportation sectors.

According to him, the implication would lead to a revenue decline in the sector and a potential loss of jobs.

On the other hand, OPSN called on the federal government to suspend the tax and excise duties for at least six months to allow the sector to heal from its current challenges.

“We further request that the Federal Government suspends excise taxes in the manufacturing sector for a minimum of six months to arrest the alarming decline in the sector.”