PRESIDENT Bola Tinubu has scrapped the controversial five per cent tariff applied on telecommunications (telecoms) mobile voice and data services.

The Executive Vice-Chairman of the Nigerian Communications Commission (NCC), Aminu Maida, hinted at this during a media briefing in Abuja on Tuesday, August 19.

Its aim is to ease financial pressures on consumers and businesses in the digital economy.

The tariff was initially suspended in 2023 but has now been officially removed under revised national tax laws.

“The 5% excise duty is no longer in effect. Initially, it was only suspended, but the President has now completely removed it.

“I was present when the issue was raised, and he firmly said, ‘No, we cannot place this burden on Nigerians.’ I was very pleased to see that this directive was upheld in the new legislation,” Maida said.

The duty, which applied to mobile voice and data services, had sparked significant backlash from both industry stakeholders and consumer advocacy groups, The ICIR reported.

The argument has been that it would increase the cost of digital access and threaten the viability of telecom operators already grappling with high operational costs.

In July 2023, Tinubu first suspended the tax as part of a broader fiscal policy overhaul aimed at mitigating the impact of multiple tax burdens on businesses and households.

The suspension came through a series of executive orders signed shortly after he assumed office.

In October 2024, the issue resurfaced when the National Assembly proposed reinstating the tax as part of broader revenue-generating measures, which also included levies on gaming, betting, and lottery services.

The proposal was met with strong resistance from the telecom sector.

At the time, the Association of Telecommunications Companies of Nigeria (ATCON) said reinstating the excise duty would undermine service affordability and hinder sectoral growth, particularly at a time when reliable internet access is increasingly vital to Nigeria’s economy.