News
Nigerians groan over effects of 7.5% VAT on petrol prices
Nigerians have begun to lament the effects of the introduction of a 7.5 per cent Value-Added Tax on the price of premium motor spirit, otherwise known as petrol.
This comes barely a month after President Bola Tinubu removed the subsidy on petrol during his inaugural speech on May 29, raising the price of PMS from N188 to about N580 in different states of the federation.
Recall that the Minister of Finance, Budget and National Planning, Zainab Ahmed, announced that the Finance Act 2020 raised the previous 5 per cent VAT of the country to 7.5 per cent on commodities including automobile gas oil and it was implemented on February 20, 2020.
But the VAT-exempt items include honey, bread, cereals, cooking oils, culinary herbs, fish, flour, starch, fruits, meat, poultry, milk, nuts, pulses, roots, salt, vegetables, water, sanitary pads, tampons, tertiary, secondary, primary and nursery tuition.
While other commodities have been VAT-compliant, PMS was not until recently because it was being subsidised by the Federal Government.
However, the new development has hit Nigerians hard, as many have called for an utmost review of it, especially because of the recent removal of fuel subsidies.
See reactions below:
A user, Ingawa said, “That means for every litre of AGO you will buy, you have to pay 7.5% Consumer Tax (VAT) of the Pump Price. For example; If 1 litre of AGO is N650 at the filling station, then you have to pay an additional N48.75 being payment for 7.5% VAT. The total price per litre will be N698.75 per litre.”
Another user, Angry Non-Nigerian, said, “When Tinubu said ‘widen the tax net, you people thought he was joking. The only thing that man knows is tax, tax and tax. As Lagosians.”
One Oyo said, “The Citizens will be the main IGR for this government. There is no single move to cut the cost of government from the Senate to the House to other departments. They went to education first by trying to add tuition fees, now 7.5% VAT on PMS. Everything directly to the common man.”
Akwa Ibom 1st son opined, “So after the removal of subsidy and the price of fuel jumped to 530, they’ve now decided to add 7.5%. VAT on AGO. In all of these, what are the politicians losing, and what are they sacrificing?”
“7.5% VAT on diesel after subsidy on petrol was removed? They will show you people shege banza pro max air 2. The government is after our lives bro!.
“Even those that were shouting ‘Akanbi’ will not be left out. They might even end up being the most affected. The evil will go round. I swear!
“Good governance is not attained by wishful thoughts, things don’t work that way. Now, Tinubu is going for a check-up after ruining the economy with senseless policies.
“His supporters have been crying since last week because the pressure is going around. We must all learn a lesson,” Madu Obi wrote.
News
Atiku Backs Suspension of new tax framework , following unconstitutional forgery
This constitutional violation exposes a troubling reality: a government obsessed with imposing ever-increasing tax burdens on impoverished Nigerians rather than creating conditions for prosperity.
Atiku Abubakar, ex- Vice President of Nigeria (1999-2007) has strengthened the public calls for the suspension of the Federal Government’s new tax laws following the discovery of illegal and unauthorized alterations made to document after passage by the National Assembly.
Atiku, in a statement he signed personally on Tuesday, asserted “What the National Assembly did not pass cannot become law.”
Atiku described the forgery of the tax law as “a brazen act of treason against the Nigerian people and a direct assault on our constitutional democracy.”
The statement reads: “This draconian overreach by the executive branch undermines the foundational principle of legislative supremacy in the making of laws.
It reveals a government more interested in extracting wealth from struggling citizens than empowering them to prosper.
The Unconstitutional Alterations
The following substantive changes were allegedly illegally inserted into the tax bills after parliamentary approval, in clear violation of Sections 4 and 58 of the 1999 Constitution:
1. New Coercive Powers Without Legislative Consent
*Arrest powers granted to tax authorities
*Property seizure and garnishment without court orders
*Enforcement sales conducted without judicial oversightThese provisions transform tax collectors into quasi-law enforcement agencies, stripping Nigerians of due process protections that the National Assembly deliberately included.
2. Increased Financial Burdens on Citizens*Mandatory 20% security deposit before appealing tax assessments*Compound interest on tax debts*Quart
erly reporting requirements with lowered thresholds
*Forced USD computation for petroleum operations
These changes erect barriers that prevent ordinary Nigerians from challenging unjust assessments while increasing compliance costs for businesses already struggling in a difficult economy.
3. Removal of Accountability Mechanisms
*Deletion of quarterly and annual reporting obligations to the National Assembly
*Elimination of strategic planning submission requirements
*Removal of ministerial supervisory provisions
By stripping away oversight mechanisms, the government has insulated itself from accountability while expanding its powers—a hallmark of authoritarian governance.
A Government Against Its People
This constitutional violation exposes a troubling reality: a government obsessed with imposing ever-increasing tax burdens on impoverished Nigerians rather than creating conditions for prosperity.
Instead of investing in infrastructure, education, healthcare, and economic empowerment that would expand the tax base organically, this administration chooses the path of aggressive extraction from an already struggling populace.
Nigeria’s poverty rate remains alarmingly high, unemployment continues to devastate families, and inflation erodes purchasing power daily.
Yet rather than supporting citizens to become more productive, thereby generating sustainable tax revenues, the government employs draconian measures to squeeze resources from people who have little left to survive.
True economic growth comes from empowering citizens, not impoverishing them further through punitive taxation and erosion of legal protections.
A thriving economy with prosperous citizens naturally generates robust tax revenues. But this requires vision, investment, and patience, qualities evidently lacking in an administration that resorts to constitutional manipulation to achieve short-term fiscal goals.
I hereby call upon:1. The Executive to immediately suspend the implementation of the tax law effective January 1, 2026 to give room for a proper investigation.
2. The National Assembly to immediately rectify these illegal alterations through proper legislative processes and hold accountable those responsible for this constitutional breach.
3. The Judiciary to strike down these unconstitutional provisions and reaffirm the sanctity of the legislative process.
4. Civil Society and all Nigerians to reject this assault on democratic principles and demand governance that serves the people rather than exploiting them.
5. The Government to abandon this path of extraction and oppression, and instead focus on policies that enable Nigerian citizens and businesses to thrive.
6. The EFCC to immediately investigate and prosecute those found culpable in the illegal alteration of our laws to extort and defraud the Nigerian people.
What the National Assembly did not pass cannot become law.
This fundamental principle must be defended, or we risk descending into arbitrary rule where constitutional safeguards mean nothing.
The Nigerian people deserve better than a government that circumvents democracy to impose hardship.
We demand accountability, constitutional compliance, and economic policies that build prosperity rather than deepen poverty.”
News
FIRS says NIN to serve as Tax ID for individuals
The new tax law is scheduled to come into force in January 2026 and mandates the use of a Tax ID for certain financial and economic transactions, including banking-related activities.
The Federal Inland Revenue Service (FIRS) has announced that the National Identification Number (NIN) issued by the National Identity Management Commission (NIMC) will now automatically serve as the Tax Identification Number (Tax ID) for individual Nigerians under the country’s new tax regime.
FIRS also said that registered businesses will also no longer need a separate Tax Identification Number, as their Corporate Affairs Commission (CAC) registration (RC) number will now function as their Tax ID.
The Service made the disclosure on its official X handle on Monday, ahead of the passage of the Nigeria Tax Administration Act (NTAA), one of the new tax laws introduced as part of the Federal Government’s broader fiscal and tax reform agenda .
The new tax law is scheduled to come into force in January 2026 and mandates the use of a Tax ID for certain financial and economic transactions, including banking-related activities.
News
Tanker crushes Akpabio’s dispatch rider to death
We went to Oyo State for the installation of our colleague, but the vehicles that came to pick me up at the Ibadan airport, unfortunately, my dispatch rider was run over by a tanker driver, and his head was shattered.
Ibrahim Hussaini, a dispatch rider attached to the convoy of Godswill Akpabio, the Senate President, has been killed after a petrol tanker rammed into the motorcade.
Although the Senate President did not state the precise location of the crash, he said that it happened in Ibadan, Oyo State, shortly after members of his convoy picked him up from the Ibadan Airport.
Akpabio announced the death during the plenary on Tuesday; he extended condolences to the family of the deceased.
Dispatch riders, who are police officers, form part of the security detail of top government officials and typically escort convoys on motorcycles.
Dispatch riders, who are police officers, form part of the security detail of top government officials and typically escort convoys on motorcycles.
“We went to Oyo State for the installation of our colleague, but the vehicles that came to pick me up at the Ibadan airport, unfortunately, my dispatch rider was run over by a tanker driver, and his head was shattered.
“We just buried him 15 minutes ago in Kogi State. He left two wives and four children,” the Senate President told lawmakers
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