VAT Charges Effective From 2020 - FIRS

By - - [ Matters Arising ]

The Federal Inland Revenue Service (FRSC) has made a policy to set Value Added Tax (VAT) on all internet usage especially online transaction. This would be effective from January 2020.

The FIRS has also said that this policy would be enforced through banks too to their customers, thereby leading to an added charges from banks on online transactions both internationally and locally.

 

Is this VAT policy imposition necessary for online transactions? What is your take on this.

VAT Charges Effective From 2020 - FIRS - By Kingsley Ochimba - 2019-08-27 14:54:03

In as much as these is a good development but What I don't understand about this new tax policy is that majority of vendors already add VAT to the cost of their sold items. Is the consumer expected to pay another VAT because he is buying the goods online? Someone should please explain this to me

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VAT Charges Effective From 2020 - FIRS - By JOHN David J. - 2019-08-27 14:56:18

This VAT chaerges should not be something that will be too elaborated, couple with the facts that charges are already made on every transaction that one do online.

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VAT Charges Effective From 2020 - FIRS - By Miracle Boniface - 2019-08-27 14:59:34

What kind of policy is that how can they make such to happen paying tax because u do online transaction is not making any sense they should not bring such policy o

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VAT Charges Effective From 2020 - FIRS - By Jerry Rinas - 2019-08-27 15:00:07

I don't think this is a good development because Consumers have already been taxed on each product they buy from the market because those selling the products will tell you that its because of the VAT that make the price of goods commodities to go up

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VAT Charges Effective From 2020 - FIRS - By Miracle Aniobi - 2019-08-27 15:02:12

I don't think is necessary, banks usually charge us for online transaction. There are better ways of generating revenue rather than vat charges on online transactions.

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VAT Charges Effective From 2020 - FIRS - By Uchenna Churchill - 2019-08-27 15:03:06

The  problem is that after the VAT addition in 2020 things still remains the same way,

No value in common citizens life. 

No quality education for the poor. 

Electricity supply zero. 

High cost of food products which leads to starvation and hunger. 

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VAT Charges Effective From 2020 - FIRS - By Hammed omiyemi - 2019-08-27 15:04:12

The VAT is a good idea for the purpose of generating revenue. But it's one thing for us to pay this tax and most importantly another thing for it to be used judiciously. The policy also seem not to be favourable because with the effect of this policy we citizens will begin to pay multiple VAT which is not meant to be. The bank already charge VAT on all online transaction, some online mall do the same, now FIRS want to add to the burden. This thing should be properly reviewed so it can be a win-win. 

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VAT Charges Effective From 2020 - FIRS - By Menekpughi Zorbari Noble - 2019-08-27 15:05:42

The VAT will only end up increasing the countries internally generated revenue through the CBN but how well will the accumulated revenue be used for. We have been paying several taxes but these taxes are not put to goid use thereby therefor, the implementation of the VAT is not quite relevant

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VAT Charges Effective From 2020 - FIRS - By Lucas Lucas - 2019-08-27 15:14:30

I don't think its necessary, what really is the need for it? The government should let us know, maybe they are looking for ways to generate more funds for some people to steal later on 

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VAT Charges Effective From 2020 - FIRS - By Akp Otobrise - 2019-08-27 15:15:22

This Vat is just detrimental to the economy of the country, where poverty is on high level, and the FIRS are implementing tax on all online transactions, added to banks charges too.... things will not go well at all. 

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VAT Charges Effective From 2020 - FIRS - By Odoemenam Onyenwearku - 2019-08-27 15:17:35

Vat  in online transaction is not a new thing, it has been in existence for many years on other parts of the countries. Just that our dear country like to make their things different. Had it been the right thing was done before now that's setting the standard of modus operandi they won't be need for this now..

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VAT Charges Effective From 2020 - FIRS - By Gbadegesin Ajibola - 2019-08-27 15:18:00

 As much as this is a good development but What me i don't understand about this new tax policy is that majority of vendor's already add VAT to the cost of their sold items. Is the consumer expected to pay another VAT because he is buying the goods online.

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VAT Charges Effective From 2020 - FIRS - By Chukwuebuka Eze - 2019-08-27 15:22:45

VAT is a normal thing for business but the issue is bank charges is becoming too much. Every thing called transaction that has to do with banks always involve charges, so this new VAT policy will now make banks to increase and create more charges which is too much. I don't think banks should be involved in it.

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VAT Charges Effective From 2020 - FIRS - By Israel Chibuike - 2019-08-27 15:22:48

This is not necessary as their are already many ways the government is generating revenue. Imposing VAT on online transaction will definately reduce the amount of online transaction. 

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VAT Charges Effective From 2020 - FIRS - By Joseph Egeolu - 2019-08-27 15:23:48

Millions are already being made daily from value added tax charged on online transactions. If the VAT becomes too much it would tell too much on the pocket of the masses and I personally do not think it would encourage the growth of a cashless economy

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VAT Charges Effective From 2020 - FIRS - By Lubem Terzungwe - 2019-08-27 15:25:51

Most of the online payments are done through remita, and they charge more than supposed, enforcing this policy should also reduce the charges been collected unnecessarily by the online platforms.

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VAT Charges Effective From 2020 - FIRS - By Olatunji Samuel - 2019-08-27 15:29:59

The imposition of VAT on online transaction is not necessary, I mean they make billions already why would they want to add charges on online transaction,it will even degrade d economic growth of the country that is yet to be well developed

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VAT Charges Effective From 2020 - FIRS - By Holly Okoro - 2019-08-27 15:38:30

The federal government always looking for ways to make life more difficult for the poor masses. What effort have they put in to ensure Nigerians get value for their money from these telecom operators? At the end of the day who benefits? The elites/politicians in power gains more.

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VAT Charges Effective From 2020 - FIRS - By Iniobong Akpan - 2019-08-27 15:39:20

In as much as i support good things and as well i want good things to come my way, FIRS should made it known to us that there will be an increase and not the other way round. Have we not been charged before?

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VAT Charges Effective From 2020 - FIRS - By Ojo Boluwatife - 2019-08-27 15:42:46

They are not suppose to add it to online transaction, alot of money infact millions of naira is been collected from Nigerians through online transaction and more, I dont think there is need for them to add extra additional charges again it is not necessary

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VAT Charges Effective From 2020 - FIRS - By Emmanuel Olaku - 2019-08-27 15:51:12

It's not necessary at all... 

There are countless ways the govt can generate both internal and external revenue. But adding to the burdens of people from increased VAT won't bode well for us.

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VAT Charges Effective From 2020 - FIRS - By Olawuni Adijat - 2019-08-27 15:52:08

Actually I don't agree with this kind of policy.

Though it's a good development but I think in all things we do in this country.

We all paid tax indirect tax... To my own view all this sms charges, card maintenance are indirect tax paid by all users.

Therefore paying tax because u do online transaction is not making any sense they should not bring such policy.

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VAT Charges Effective From 2020 - FIRS - By Ibrahim Deji - 2019-08-27 15:55:40

This is not we expect from the Federal inland revenue service. Value added tax has always been exorbitant and service has been poor. What they should be doing to improving quality not more extortion

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VAT Charges Effective From 2020 - FIRS - By Aruwaji Love - 2019-08-27 16:11:24

We all know this is one of the means that the government of any country would make money.   But what's the essence when these government officials would only but squander the money right under our nose?   The below class citizens should be put into consideration before making policies like this.   God help this country

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VAT Charges Effective From 2020 - FIRS - By Eka Ntuen - 2019-08-27 16:18:27

This is no fair at all on the masses....Why should they increase the charges on online transaction ...This is another way of extorting money from us indirectly ...Isn't a welcome development at all

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VAT Charges Effective From 2020 - FIRS - By Auta Samuel Iyona - 2019-08-27 16:37:52

This idea seems not to worth any value other than stealing, what happens to all the different charges that were enabled before? If this one ends up attaching to them, then I think most people will digress from online transactions. 

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VAT Charges Effective From 2020 - FIRS - By Sijuade Tokede - 2019-08-27 16:39:50

This is very unfavourable..it's not fair on the people at all. It makes no sense. The FIRS really should not take this step. Despite all the taxes generated from other sources, we do not still really feel their impact

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VAT Charges Effective From 2020 - FIRS - By Joseph Bassey - 2019-08-27 16:55:58

I like the idea they are trying to project, but I don't think it is necessary. They have been generating taxes from other sources for a long time now, remita handles the charges for online transaction so I see no reason why the FIRS would also want taxes for online transactions

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VAT Charges Effective From 2020 - FIRS - By Adebayo Olagbaiye - 2019-08-27 16:57:33

This isn't fair. Most of the products we pay for online already have VAT embedded in the cost. That means we will be paying tax twice for each online transaction. The economy is hard enough as it is

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VAT Charges Effective From 2020 - FIRS - By Michael Sanni - 2019-08-27 17:00:53

These people are always looking for ways to make money. This VAT that they want to be adding to every transaction is not making sense at all. It shouldn’t be happening.

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VAT Charges Effective From 2020 - FIRS - By ONYEKA EKWOCHI - 2019-08-27 17:03:53

Bad decision, if i may ask, what have the federal government of Nigeria done for the masses regard to thier wellbeing? No job, No security etc. Now they are talking about extorting money from the innocent citizens for thier online transaction's. Which way Nigeria?

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VAT Charges Effective From 2020 - FIRS - By John Akingunola - 2019-08-27 17:12:42

The system would be said to bring internal revenue for Nigeria but thats not the main issue Nigeria is facing. Nigeria has enough money to carry out projects. What Nigeria is really lacking is good governance. If that is in place, Nigeria would be a better place

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VAT Charges Effective From 2020 - FIRS - By Omoyele Peter - 2019-08-27 17:33:54

This Tax policy is only possible for those selling onlins examples are Jumia, Konga and they charge VAT while selling too but for others like  bloggers, Naijaloded,tooexclsive how would they want charge them, its impossible for them and how it can be done. Let's see how they will do that.

Instead of facing other things that will benefit the people.

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VAT Charges Effective From 2020 - FIRS - By Gracious Sampson - 2019-08-27 17:51:48

Instead of them to find a better place to increase the taxes, they are putting it on the banking sector, what does the bank customers have to do with increase tax, when nothing you do concerning the bank is free.

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VAT Charges Effective From 2020 - FIRS - By Azeez Nosiru - 2019-08-27 18:06:49

Falz once said;this is Nigeria,look how we are living now......the firs of a thing aren't even performing up to their standard if I check well,so,they are now planning to inconvenient the citizens of this country,No,this isn't right

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VAT Charges Effective From 2020 - FIRS - By Emmanuel Afemikhe - 2019-08-27 18:20:26

This doesn't make any sense to me, common thirty thousand naira minimum wage they could not pay but they are clamouring about vat. God help us

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VAT Charges Effective From 2020 - FIRS - By Saliman Nasirudeen - 2019-08-27 18:32:05

The coverage also appear now not to be favourable due to the fact with the effect of this coverage we residents will begin to pay multiple VAT which isn't supposed to be. The financial institution already charge VAT on all online transaction, a few on-line mall do the same, The  trouble is that after the VAT addition in 2020 matters still stays the equal way,No price in commonplace citizens lifestyles. This Vat is simply unfavourable to the financial system of the united states, where poverty is on high stage.

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VAT Charges Effective From 2020 - FIRS - By Patrick Ofere - 2019-08-27 19:08:16

I don't think is necessary, banks usually charge us for online transaction. There are better ways of generating revenue rather than vat charges on online transactions.

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VAT Charges Effective From 2020 - FIRS - By Olalekan Farinmade - 2019-08-27 19:13:30

VAT has been added by some financial institutions before, I hope this new policy won't be another burden on we the citizen during online transaction. Before it is effected, proper considerations should be put in place 

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VAT Charges Effective From 2020 - FIRS - By Adeseolu Kazeem - 2019-08-27 19:28:14

VAT on online transactions is an additional way to make the masses even poorer because the banks are already removing VAT as at now why additional VAT again

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VAT Charges Effective From 2020 - FIRS - By Ahmed Taiwo - 2019-08-27 20:12:11

 this is a bad dicesion i think ,The system would be said to bring internal revenue for Nigeria but thats not the main issue Nigeria is facing. Nigeria has enough money to carry out projects. What Nigeria is really lacking is good governance. If that is in place, Nigeria would be a better place

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VAT Charges Effective From 2020 - FIRS - By Rita Amadedon - 2019-08-27 21:04:39

I don't see a problem with VAT charges on online transactions...the glitch is, will the money be put to appropritee use? That has always been the bane of charges collected by government in Nigeria.

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VAT Charges Effective From 2020 - FIRS - By Albert Emmanuel - 2019-08-27 21:14:55

Well I can't cry more than the bereaved 

Addition on VAT is prolonged more hardship on the poor, firs should consider the lamentation of ordinary citizen and search for another source to generate income.

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VAT Charges Effective From 2020 - FIRS - By Uka Emeka - 2019-08-27 21:42:40

This is very unfair policy on the poor masses especially the youth. This policy will not online reduce the way people transact online but also make people to start doing offline business. Please the Nigeria senate should speak against that. And also, the youth should protest against it peacefully. 

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VAT Charges Effective From 2020 - FIRS - By Goodness Godwin - 2019-08-27 22:03:00

Taxing online transactions can never  be a solution  to this nation's countless problems. 

I think  the federal government should device other ways if raising revenue or even decrease it's funny expenditure 

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VAT Charges Effective From 2020 - FIRS - By Julius Titus - 2019-08-27 22:21:58

In that case, the cashless policy should be abrogated. The aim of cashless policy is to makr transactions easier, fast and secure with less cost. With the current VAT, I personally think online transactions will be discouraged. 

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VAT Charges Effective From 2020 - FIRS - By Elvis Boomni - 2019-08-27 22:36:53

This is too much. The banks are collecting charges now this too. All this money that is been collected where are they. Countries are look for way to reduce cost this country keep increasing cost

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VAT Charges Effective From 2020 - FIRS - By Elvis Boomni - 2019-08-27 22:38:41

This is too much. The banks are collecting charges now this too. All this money that is been collected where are they. Countries are look for way to reduce cost this country keep increasing cost

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VAT Charges Effective From 2020 - FIRS - By Precious Ogiemwonyi - 2019-08-27 23:22:49

Adding VAT to online transaction is not a problem for me. The problem now is that i do not see what they will be using the money for. Our roads are bad,no good electricity or even security etc. 

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VAT Charges Effective From 2020 - FIRS - By Emmanuel Ugbeye - 2019-08-27 23:48:16

Internally generated revenue from Internet transactions is a nice idea to the rich but what of the poor. The same amount the rich will be charged is the same the poor will be charged. Federal Government, be wise o!!!

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