NECA asks FG to suspend implementation of increase on excise duty, new taxes
The Nigeria Employers’ Consultative Association (NECA) has urged the Federal Government to, as a matter of urgency, suspend implementation of the recently announced increase in the revised excise duty on alcoholic beverages, cigarettes and tobacco products, as well as introduction of new taxes and levies across board.
Director General of NECA, Adewale-Smatt Oyerinde, yesterday, said the increases, if implemented, would be counter-productive, as it would aggravate current rate of unemployment, encourage smuggling, discourage Foreign Direct Investment (FDI), reduce the purchasing power of Nigerians and actively promote the relocation of businesses to other countries.
Stating that organised businesses are bleeding and continue to struggle for survival, Oyerinde said the roadmap, as previously agreed, should be adhered to in the spirit of policy consistency.
He lamented that with multi-dimensional challenges currently faced by organised businesses, a parting gift that Nigerians do not want by this administration is increase in taxes.
He said the Federal Government should not leave behind a legacy of tax burdens that would endanger fragile growth achieved in the economy on the ground of seeking revenue generation.
He said what the government should do is reappraise its adherence to the principles and spirit of fiscal discipline as enshrined in various legislations.
According to him, with over 60 different taxes and levies, Nigeria is fast becoming a pariah state to investors.
