The Federal Government has clarified that it has no immediate plans to implement the five per cent fuel surcharge included in the newly signed Tax Administration Act 2025.
Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, made this known at a news conference in Abuja on Tuesday.
He explained that the surcharge was not a new levy created by the Tinubu administration but a long-standing provision first introduced in 2007 under the Federal Road Maintenance Agency (FERMA) Act.
“The inclusion of the surcharge in the 2025 Nigeria Tax Administration Act does not mean an automatic introduction of new tax. It doesn’t mean fresh taxation automatically,” Edun said.
According to him, the law will not take effect until January 1, 2026, and even then, implementation would require a formal commencement order by the finance minister, published in an official gazette.
“As of today, no order has been issued, none is being prepared and there is no plan. There is no immediate plan to implement any surcharge,” he added.
Edun stressed that the Tax Administration Act is part of broader reforms to modernise Nigeria’s fragmented tax system. Alongside it, the government also passed the Revenue Service Bill, the Joint Revenue Board Bill, and the Tax Reform Bill, all aimed at improving transparency, simplifying compliance, and boosting efficiency.
He noted that the reforms followed years of consultation and technical work, and that implementation would require institutional realignment, capacity building, and public sensitisation.
Amid public concern over economic hardship, the minister assured Nigerians that the administration’s priority is strengthening tax governance and blocking leakages, not imposing additional burdens.
“This government is fully aware of the economic pressures of the time and will not take decisions that will make things even more burdensome,” Edun said.
He added that ongoing macroeconomic reforms were already improving investor sentiment and attracting positive signals from development partners and rating agencies.
Edun emphasised that communication and public sensitisation would be central to the implementation process in the months ahead.