The Nigeria Revenue Service (NRS) has dismissed reports that Value Added Tax (VAT) was newly imposed on banking services, fees, commissions, or electronic money transfers, describing the claims as misleading and inaccurate.
In a press statement issued on Thursday, the revenue agency said media narratives suggesting that the Nigeria Tax Act introduced VAT on banking charges were false and did not reflect the provisions of the law.
The NRS explained that VAT has long applied to fees, commissions, and service charges rendered by banks and other financial institutions under Nigeria’s existing VAT framework.
“The Nigeria Tax Act did not introduce VAT on banking charges, nor did it impose any new tax obligations on bank customers in this regard,” the agency stated.
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According to the service, the VAT treatment of banking services remains unchanged, as the tax has always been applicable to eligible financial services provided by banks and other institutions.
The NRS urged members of the public, businesses, and stakeholders to disregard misinformation and rely on official communications for accurate, authoritative, and up-to-date tax information.
The clarification followed growing public concern over alleged new charges on banking transactions after the implementation of recent tax reforms.
