The Federal Government on Tuesday said it would exempt 10 food items, including milk, table water, barley and sorghum among others from the 7.5% Value Added Tax (VAT) increase it proposed in early September.
President Muhammadu Buhari made this known on Tuesday in its 2020 Appropriation Bill presented to a joint session of the National Assembly.
The Federal Government has unveiled its Strategic Revenue Growth Initiative (SRGI) for sustainable revenue generation in various sectors of the economy, part of which is to increase Excise Duty rates on certain goods as well as Value Added Tax (VAT) from the current 5%.
Speaking in Abuja while launching the SRGI, Wednesday, the Minister of Finance, Mrs. Zainab Ahmed, said the implementation of the initiative would significantly boost the federal government revenue outlook in the months and years ahead.
The Food, Beverage and Tobacco Senior Staff Association (FOBTOB) has asked the Federal Government to re-evaluate the advice to increase tariff on alcohol and tobacco to protect job losses.
Speaking to the media, the General Secretary of FOBTOB, Mr. Iji Solomon made the call to the government.
The Federal Government on Tuesday unveiled its Economic Recovery and Growth Plan after consultations with stakeholders from both the public and private sectors of the economy.
The plan includes raising the Value Added TAX (VAT) rate on luxury items from current 5% to 15%. The Government is projecting raising N350bn through the increase in VAT rate on luxury items and improvement in company’s income tax, which would commence in 2018.
The Federal Government on Wednesday unveiled a revised National Tax Policy which is meant to provide for an efficient tax system and address the low tax-to-GDP ratio.
Addressing the media on the revised tax system after the conclusion of the Federal Executive Council meeting on Wednesday, the Minister of Finance, Kemi Adeosun, said that the cabinet, which was presided over by the Vice President, Yemi Osinbajo has approved the revised National Tax Policy which will see the Value Added Tax (VAT) on luxury items, like champagne, among others raised from the current 5%.
