Relief As Tinubu Scraps 5% Telecom Tax On Calls, Data

The Federal Government, in a significant move expected to ease financial pressure on Nigerians, has announced the removal of the 5% excise duty previously applied to telecommunications services, including voice calls and data subscriptions.

The announcement came through the National Orientation Agency on Thursday, citing statements from Dr. Aminu Maida, Executive Vice Chairman of the Nigerian Communications Commission (NCC).

Dr. Maida said President Bola Tinubu personally directed the scrapping of the tax during consultations on the recently passed Finance Act. 

“This intervention is designed to prevent further financial strain on millions of Nigerians while bolstering growth in the digital economy,” he explained.

According to the NCC, the removal of the tax will benefit more than 171 million active mobile subscribers nationwide. 

Many of these users had already experienced a 50% tariff increase earlier this year, making the decision a major relief for ordinary consumers.

The 5% excise duty was first introduced in 2022 under the administration of former President Muhammadu Buhari. 

At the time, it applied to both data and voice services and was intended to increase government revenue amid declining oil earnings.

However, the levy faced strong opposition from telecom operators and consumer advocacy groups, who argued it would worsen living costs for Nigerians. 

The Association of Licensed Telecom Operators of Nigeria (ALTON) had warned that the sector was already overtaxed compared to other countries in sub-Saharan Africa.

Industry experts welcomed the move, noting its potential to revitalise mobile usage and encourage digital inclusion. 

“This is a positive step for both consumers and the telecom sector. Reducing unnecessary taxes will stimulate more investment in digital services,” said an independent telecom analyst.

The government’s reversal of the tax is seen as a strategic effort to balance fiscal needs with economic growth, particularly in an era where digital connectivity plays a central role in business, education, and social interaction.