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    ALMOND 94.3 FM Ibadan

News

NO IMMEDIATE PLAN TO IMPLEMENT 5% FUEL TAX – EDUN

today09/09/2025 15

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Wale Edun, Minister of Finance and Coordinating Minister of the Economy, sought to calm public unease on Tuesday over the contentious 5% fuel surcharge included in the newly enacted Tax Administration Act 2025, clarifying that the federal government has “no immediate plans” to implement the levy.

Speaking at a press conference in Abuja, Edun emphasized that the surcharge is not a new tax introduced by the Tinubu administration, but rather a long-standing provision initially established in 2007 under the Federal Road Maintenance Agency (FERMA) Act.

He explained that its inclusion in the 2025 Act is part of a broader effort to consolidate and streamline existing tax laws for greater clarity and ease of enforcement.

“It’s important to clarify that the inclusion of the surcharge in the 2025 Nigeria Tax Administration Act does not equate to the automatic introduction of a new tax. It doesn’t imply fresh taxation,” Edun stated.

The surcharge intended to support road maintenance by allocating 40% of the revenue to FERMA and 60% to corresponding state agencies has recently drawn criticism from labour unions and civil society organizations.

Written by: Adeola Akinbade

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