FG Scraps 5% Telecom Tax To Ease Burden On Mobile Users

In a move aimed at providing relief to millions of Nigerians, the Federal Government has officially revoked the 5% excise duty earlier imposed on telecommunications services. The decision, announced by the National Orientation Agency (NOA), is expected to significantly reduce cost pressures on over 171 million active telecom subscribers across the country.

The controversial tax, which applied to both voice calls and data services, was introduced during the Muhammadu Buhari administration. It immediately drew backlash from industry stakeholders and consumer advocates, who argued that it would further increase the cost of communication in a nation already grappling with rising inflation and economic hardship.

According to Aminu Maida, Executive Vice Chairman of the Nigerian Communications Commission (NCC), the removal of the levy came at the directive of President Bola Ahmed Tinubu during deliberations on the recently passed Finance Act.

“The excise duty had posed an additional burden on telecom users, many of whom already faced a 50% tariff increase earlier this year,” Maida explained.

Industry experts say the development is not only a win for consumers but also a boost for the digital economy, as it is expected to enhance access to affordable communication, support businesses, and encourage broader participation in Nigeria’s growing tech ecosystem.

With telecom services being the backbone of connectivity, commerce, and innovation, analysts believe that the tax reversal reflects the government’s responsiveness to public concerns and its broader agenda of easing the cost of living for Nigerians.