Federal Govt projects N250bn from excise duty

Amid a revenue crunch, the Federal Government has targeted raising N250.09bn from excise duty in 2023 as a viable solution.

This was according to the latest 2023 fiscal framework document sighted

In perspective, the Federal Government targeted a combined figure of N98.53bn from excise duty in 2021 and N161.7bn in 2022.

It means that the government revenue target from excise duty rose by 153.82 per cent in two years and 54.66 per cent in one year.

Reacting to the development, economic experts, Idakolo Gbolade and the CEO of the Centre for the Promotion of Private Enterprise, CPPE, Dr Muda Yusuf disclosed that the government’s approach to imposing a duty on an existing heavily taxed private sector is unfair.

Gbolade stated that the government should look for other alternatives to revenue generation, especially sectors not currently on its tax net.

On his part, Yusuf disclosed that the government’s approach to revenue collection, as indicated in the new Finance Act, would deter foreign investors.