Some days ago i was on the famous social media platform, Twitter and i noticed that some nigerians have just realisedthat they now have to pay value-added tax (VAT) every time they make phone calls or send a Short Message Service, SMS. They thought this is strange and they called out the Federal Government on it.
Many of them have expressedshock on Twitter whilesharing screenshots of the notifications they received from their telecomservice providers to the effect of the new VAT charges.
Twitter user with handle name @SLIMZADDYJ, made a phone call that lasted for forty–six seconds and was charged N5.06 with VAT included.
Another user with handle @Woshtv name said they charged N4.10 after sending an SMS which normally costs just N4. According to him, the 7.5% VAT will henceforth apply to every outgoing call and SMS. The same applies every time someone purchases a data plan. Now, the interesting thing is that the longer the call, the more VAT one pays.
Most Nigerians are blaming President Muhammadu Buhari, whose administration proposed the 2019 finance bill that introduced the VAT increase.
President Buhari said there would be new finance bills to accompany every proposed national budget going forward.Nigeria is witnessing a revenue crisis due to declining crude oil earnings. As such, the government is trying to raise additional money byimposing more taxes.