The Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, has dismissed claims circulating in the media that the Value-Added Tax (VAT) rate has been increased from 7.5% to 10%.
In a statement issued on Monday, Edun reassured Nigerians that the current VAT rate remains unchanged at 7.5%, as outlined in the country’s tax laws. He emphasized that neither the Federal Government nor any of its agencies would act outside the law regarding tax rates.
“The current VAT rate is 7.5%, and this is what the government is charging on the range of goods and services to which the tax applies. The Federal Government is focused on implementing fiscal policies that foster sustainable economic growth, reduce poverty, and create an environment where businesses can thrive,” Edun stated.
He also addressed concerns arising from media reports suggesting that the government is taking steps that could increase financial burdens on citizens, clarifying that these reports are misleading.
“In fact, the Federal Government has recently suspended import duties, tariffs, and taxes on essential food items such as rice, wheat, and beans to provide relief to Nigerians,” he added.
Edun concluded by reiterating the government’s commitment to creating a favorable business environment and confirming that VAT remains at 7.5%, as stipulated by law.