As the reality of the Value Added Tax (VAT) increment that commenced on February 1 struck home, some Nigerians took to social media to lament an immediate increase in prices of goods and services across the country.
The VAT increment occurred following President Muhammadu Buhari’s assent to the 2020 Finance Bill passed by the National Assembly.
With the presidential assent, VAT rose from 5 percent to 7.5 percent, an 85 percent increase.
The Federal Government explained that revenue generated from the increase in Value Added Tax would help develop infrastructure.
But members of the organised private sector (OPS) in the country warned that the increment would push up the operating cost of businesses.
Market analysts also said that the policy would reduce the disposable income of Nigerians, thereby, limiting the ability of people to pay for certain services
Many Nigerians who took to social media on Wednesday lamented the increase in call tariff rates by major telecom operators as a result of the new 7.5% VAT.
A commenter, Agunego Kosisochukwu lamented that the poor masses could eventually not reap any democracy dividends for the hardship they are being subjected to due to the increment.
He wrote: “If only this 7.5% VAT will be used to develop the Country, But all this Revenue generated from the Poor Masses will still be Looted by our Corrupt Officials and also for rehabilitating Fake repetent Boko Haram Members.”
Read comments monitored on Twitter:
I swear, no Nigerian should go to hell; the country is already Hell.
No jobs, no light, shitty educational system, insecurity, poor transportation system, low life expectancy, poor health system, #LagosIsWalking, 7.5% VAT even on calls and SMS. Is it a crime to be Nigerian? pic.twitter.com/u3jRrdTCQZ
— Kenechukwu July 29 (@iamKennethAba) February 5, 2020
Pls see the screenshot that indicates the 7.5% VAT charge is now being applied on mobile phonecalls
I guess only the rich make phone calls in Nigeria?
Where are the Buharinomics experts & Ajurian economists that claimed the increase won't affect the poor?
Purveyors of poverty! pic.twitter.com/ihoGghTBID
— The Revolutionary Seeker (WAEC) (@The_Seeker76) February 5, 2020
7.5% VAT won't affect the poor masses yen yen yen.
7.5% VAT is only for luxuries yen yen yen.
Now MTN is adding 7.5% VAT to calls/texts or sending texts & phone call is for the rich alone?.
The annoying part is we didn't even have good roads to show for all the before before tax.
— Zaddy Ajala (@UNCLE_AJALA) February 5, 2020
When lovers start professing their love to one another on phone ontop this 7.5% VAT
MTN: pic.twitter.com/DaZyN3lLIr
— Future Pepsi Ambassador (@Obong_Hanson) February 5, 2020
Buhari I see the Chess game ur playing
U gave us N33,000 via minimum wage
And ur taking the money back via 7.5% VAT
Buhari u rule like the devil
U give nothing for free
Buhari is Nigeria's #coronavirus pic.twitter.com/7vjR9yM0k3
— Captain Jack Sparrow š³š¬ (@Jenkky_2fit) February 5, 2020
We will trend 7.5%. VAT Today, tomorrow we will adjust to the suffering and pretend like nothing happened.
Y'all voted for this administration, we will all suffer the painsš
— Charles E. O. (@OziboOfficial) February 5, 2020
If only this 7.5% VAT will be used to develop the Country, But all this Revenue generated from the Poor Masses will still be Looted by our Corrupt Officials and also for rehabilitating Fake repetent Boko Haram Members.
Nnamdi Kanu was Right, Nigeria is a ZOO!
— Agunego Victor (@iamversatile) February 5, 2020
With this new 7.5% VAT somebody's daughter would expect somebody's son to spend more than 20 mins with her on the phone?
Who does that? pic.twitter.com/XDdvhjhxx9
— Tunde Jimoh (@iamtundegold) February 5, 2020
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