The Trade Union Congress (TUC) has rejected the Federal Government’s move to increase Value Added Tax (VAT) from the current 7.5% to 10%, 12.5% and finally to 15% as proposed in one of the tax reform bills.
In a statement on Tuesday, TUC President Festus Osifo said “allowing VAT rate to remain at 7.5% is in the best interest of the nation, as increasing it would place an additional financial burden on Nigerians, many of whom are already struggling with economic challenges”.
The union also said the National Agency for Science and Engineering Infrastructure (NASENI) and the Tertiary Education Trust Fund (TETFUND) have greatly impacted the country through their respective mandates.
The TUC said it welcomed the inclusion of the derivation component in VAT distribution amongst the three tiers of government.
