The presidency has listed certain items exempted from Value Added Tax by the Finance Act 2019.Some of the items listed by presidential spokesperson Laolu Akande include locally produced sanitary pads, food additives and table water.
According to the President, “the Finance Bill will support the funding and implementation of the 2020 Budget. We shall sustain this tradition by ensuring that subsequent budgets are also accompanied by a Finance Bill.”The Finance Bill, 2019 was submitted to the National Assembly by President Muhammadu Buhari alongside the 2020 Appropriation Bill, and signed into law by the President on January 13, 2020.
Nigeria’s increased new VAT rate of 7.5% is still the lowest in Africa, and one of the lowest anywhere in the world. Under the new law small companies – companies with less than N25 million in annual turnover are charged Zero CIT.Large companies – with annual turnover greater than N100m – will continue to pay the standard 30% CIT
Cost of things maybe very high after now, but we just need to buckle up and face the challenge