Taxes On Luxury Good Increased As Nigeria Continues Efforts To Shore Up Revenue Base

In an effort to shore up the federal government’s revenue base, Nigeria’s Federal Executive Council (FEC) has approved a new tax regime, just as it announced its intention to raise taxes on luxury goods. Also, the council constituted a task force to device measures to force down the prices of food in the country.

The council equally approved a memo for the procurement of more coaches for the Nigerian Railway Corporation (NRC) to improve rail transportation.

Minister for Finance, Mrs. Kemi Adeosun, who announced the approval of the new tax policy, after the FEC meeting presided over by acting President Yemi Osinbajo, said council approved the revised National Tax Policy meant to review the tax rates in certain areas.

She however pointed out that the government would work with the National Assembly for the amendment of certain tax laws before the commencement of the policy. Adeosun hinted that while taxes on some basic commodities might not be increased, taxes on luxury goods would certainly be increased.