FG Considers Increasing VAT From 5% to between 35-50% to pay minimum wage

FG Considers Increasing VAT From 5% to between 35-50% to pay minimum wage

Minister of Budget and National Planning, Senator Udo Udoma, and the Chairman of the Federal Inland Revenue Service, Mr Babatunde Fowler, on Tuesday said the Federal Government was considering an upward review of the Value Added Tax (VAT) by 50 per cent.

 

Udoma and Fowler who stated this on Tuesday when they appeared before the Senate Committee on Finance, said the increment was to, among others, enable the Federal Government to fund the new national minimum wage.

 

Fowler, who said the FIRS’ goal was to achieve an N8trn revenue generation target this year, also said the 50 per cent increment would affect the Company Income Tax and the Petroleum Profit Tax.

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