The Senate has assured Nigerians that the implementation of the 2.5 per cent increase in the Value Added Tax from February 1 will not affect the purchasing power of an average Nigerian because the increment was targeted at luxury items.
The President of the Senate, Ahmad Lawan, gave the assurance on Monday, while answering a question on what palliative measures the National Assembly expected the Federal Government to put in place to ameliorate the expected pressure on the purchasing powers of Nigerians.
Lawan said, “The 2. 5 per cent increment in VAT does not include items that ordinary Nigerians normally use.
“Many of the items that would now have additional 2.5 per cent increment are luxury items that ordinary Nigerians don’t use.
He explained that the nation needed additional resources to provide basic social amenities that an average Nigerian required.
Lawan said that the Senate Committee on Constitution Review would be constituted this week with the Deputy President of the Senate, Ovie Omo-Agege, named as chairman.
Signup for FREE news updates, latest information and hottest gists everyday/Advertise on NigerianEye.com