FG Approves Exemption Of Digital Economy Sector From 5% Excise Duty.

*“To this end, on March 6, President Muhammadu Buhari approved the exemption of the digital economy sector on the 5 per cent excise duty because of it negative effect on the citizens”.Pantami said.

By Helen Udoh- Abuja.

The Minister of Communications and Digital Economy, Prof Isa Pantami Revealed that, the Federal Government had approved the exemption of the digital economy sector from 5 per cent excise duty.

Pantami made this known to newsmen on tuesday at during a press conference by the Presidential Review Committee on Excise Duty in Abuja.

“Many MSMEs and SMEs depend on the sector for survival; if the tax is increased, the impact will take a toll on these businesses.He said.

The Minister stated that, “41 categories of taxes, levies and charges are already in the digital economy sector; hence there is no justification for an additional excise.

According to the Minister“There is no need for excise duty in the telecom sector because the industry is already heavily taxed up to 41 taxes.

“The sector has been contributing hugely to Nigeria’s economy; more tax burden destroys the industry.He said.

“This is the only sector where the prices of services have been reduced”.He revealed.

“There is no justification for the government to impose more burden on its poor Citizens.He said.

“We increased revenue generated by 594 per cent from N51 billion quarterly to N481 billion quarterly”.He said.

In the same vein, The Executive Vice Chairman of the Nigerian Communications Commission, NCC, Prof Umar Danbatta, said that, the commission’s commitment to improving the telecom industry.

He said the average 1 gigabit of data has dropped to N335 from N350.

He revealed that, the reduction of data cost had been the main target of the commission.

” The average 1 gigabit of data has dropped to N335 from N350.He said.