Due to the increase in Value Added Tax (VAT) to 7.5 percent which takes effect on Saturday, February 1; telecommunications operators may effect an increase in the prices of calls and data.
Equally important, this was confirmed by the Association of Licensed Telecommunications Operators of Nigeria (ALTON); who issued a statement notifying subscribers about this development due to the VAT increase.
The statement was signed by its Chairman, Mr. Gbenga Adebayo and Head of Operations, Gbolahan Awonuga.
According to ALTON; purchases of telecommunication products and services will be affected by the implementation of the VAT increase.
Further, the umbrella body of telcos revealed the VAT increase would reflect on the charges of phone calls; text messages and data for internet in Nigeria.
“Further to the assent of the Finance Bill by President Muhammadu Buhari, which reviewed the Value Added Tax from 5 percent to 7.5 percent; ALTON wishes to notify consumers that our members will begin applying the new VAT rate on all purchased telecommunication products and services; with effect from 1st of February 2020,” statement noted.
Additionally, ALTON assured its members will adhere to tariff transparency and quality service delivery in implementing the VAT increase.
President Muhammadu Buhari recently signed into law the finance bill; which was designed to support its implementation and to create a truly enabling environment for business and investment by the private sector.