On March 22, 2025, the Nigerian National Assembly was urged to exclude the Value Added Tax (VAT) rate from a proposed tax bill to allow for easier future amendments. The bill, part of four tax reforms submitted by President Bola Tinubu on October 3, 2024, aims to consolidate taxation laws and increase VAT from 7.5% to 10% in 2025, 12.5% from 2026-2029, and 15% from 2030 onward. While the House of Representatives has passed the bills, the Senate is still deliberating. Akin Oyebode, Chairman of the Forum for State Commissioners of Finance, supported the tax reforms but argued that embedding VAT rates in the law would complicate amendments, suggesting they be managed through a periodically reviewed finance act instead. Similarly, Paul Alaje, a Chief Economist at SPM Professionals, backed the bill but opposed the VAT increase, warning that even a small hike could fuel inflation and create economic challenges.
Source: punchng.com
