The Federal Government is set to present a bill hat seeks to make Nigerians pay 9 per cent Value Added Tax on voice calls, voice call, SMS, MMS, Data usage from telecommunication service providers, internet service providers and Pay TV Stations, Vanguard reports.
A stakeholders’ meeting was on Wednesday organised by the Lagos Chambers of Commerce and Industry, LCCI, to deliberate on the CST bill.
The Minister of Communications, Adebayo Shittu while speaking at the meeting, said the outcome of deliberations on the bill would form the basis of his advice to the President.
He noted that introduction of new taxes without harmonising existing ones would put pressure on the country’s tax system thereby making it unattractive to investors according to Newspeak.
According to the minister, “This may also be counter-productive in the long run for our targets on broadband penetration. Our ICT Roadmap gives fresh impetus for implementing existing policies and reviewing any that is inimical to the growth of the sector. My focus on any tax regime will be to align any process that will stimulate the economy and also ensure that the tax system is efficient by widening the tax net. It is also to create an effective framework for tax compliance to protect the poor and vulnerable in the society who nonetheless have to use telecoms services for social inclusion and financial services.”
He said that the government’s efforts at increasing its revenue made the bill worthy of consideration.
Source: News24 Kenya