As ALTON, ATCON, NATCOMS kick, says action insensitive, irresponsible, should step down
Nigerian telecommunications consumers may need to tighten their belts in the days ahead as Federal Government has concluded plans to impose 5% Excise Duty on all telecommunications services ranging from calls, SMS and data services.
This is coming as major stakeholders in the sector, the Association of Licensed Telecoms Operators of Nigeria (ALTON), Association of Telecommunications Companies of Nigeria (ATCON) and National Association of Telecoms Subscribers (NATCOMS) have kicked against the move, describing it as anti-people, provocative, strange, insensitive and irresponsible.
They made the position known on Thursday at a stakeholders’ forum organised by the Nigerian Communications Commission, NCC on the proposed implementation of the Exercise Duty on all telecommunications services in Nigeria held in Abuja.
They argued that such imposition would further aggravate the suffering of the Nigerian masses who had already been pushed into hardship and extreme poverty.
The new 5% Exercise Duty is part of the new Finance Act signed into law by the President in 2020.
It is meant to be collected by the Nigerian Customs Service following the directives of the President Mohammadu Buhari that it should enforce the law on all telecom service providers in the country on all local and foreign goods and services.
She explained that the government is committed towards implementing the regulation in a seamless manner which will not affect Nigerians.
Earlier, in his welcome address, the Executive Vice Chairman of NCC, Prof Umar Danbatta said the forum was necessitated for stakeholders to get better clarifications on the 5% excise duty on telecom services implementation.
“As telecoms industry regulator, the Nigerian Communications Commission has engaged with the Federal Ministry of Finance, the Nigerian Customs Service and consultants from the World Bank to get needed clarifications. These engagements enabled us to better understand the objectives and proposed implementation mechanisms of the Excise Duty. Nonetheless, we consider it imperative that these implementing agencies should also meet directly with telecoms industry stakeholders to address areas of concern”
On his own remarks, the Comptroller General of the Nigerian Customs Service, Hameed Ali (rtd), pleaded with the stakeholders to be patriotic and reason with the government toward implementing the policy.
Hameed represented by the Assistant Comptroller General NCS, Mrs A.S Oshishi revealed that telecommunications operators are expected to be dully registered with the service for seamless actualization of the process.
Either to pass the cost to consumer or capture it in an appropriation. The payment is to be made in arrears, on the 21st of every month”, he stated.
In his response, the Chairman, Association of Licensed Telecommunications Operators of Nigeria, ALTON, Engr Gbenga Adebayo described the new tax regime as a stange move and unsual development in the misdst of 39 different tax payable by the telecom operators in the country.
He insisted that the new tax burden would be passed to subscribers.
“It is a strange move, it appears a bit unusual. exercise duty is suppose to be apportioned to goods and products, but we are surprise this is on Services.
Social Plugin