Nigeria increase taxes tobacco

Nigeria has indeed increased taxes on tobacco products in recent years. Here are some key developments:

  1. 2015: Excise Duty Increase: The Nigerian government increased excise duty on tobacco products by 400% in 2015. This move was aimed at reducing the consumption of tobacco products and generating more revenue for the government.
  2. 2018: Additional Excise Duty: In 2018, the government introduced an additional excise duty of 20% on tobacco products, effective from January 1, 2018. This brought the total excise duty on tobacco products to 67.5% of the product's value.
  3. 2020: Further Increase: In 2020, the government increased excise duty on tobacco products by 15% to 77.5% of the product's value. This move was part of the government's efforts to reduce the consumption of tobacco products and generate more revenue.
  4. 2022: New Excise Duty Regime: In 2022, the Nigerian government introduced a new excise duty regime for tobacco products, which increased the excise duty rate to 80% of the product's value. This regime also introduced a new excise duty rate of 10% on e-cigarettes and other alternative nicotine products.

The increased taxes on tobacco products in Nigeria are aimed at achieving several objectives, including:

  1. Reducing Tobacco Consumption: By increasing the cost of tobacco products, the government hopes to reduce the consumption of tobacco products and ultimately reduce the prevalence of smoking-related diseases.
  2. Generating Revenue: The increased taxes on tobacco products are expected to generate more revenue for the government, which can be used to fund public health programs and other social services.
  3. Promoting Alternative Products: The government hopes that the increased taxes on tobacco products will encourage consumers to switch to alternative nicotine products, such as e-cigarettes, which are considered safer than traditional tobacco products.

Overall, the increased taxes on tobacco products in Nigeria are part of the government's efforts to reduce the harm caused by tobacco consumption and generate more revenue for the country.