The Federal Government has announced a six-month exemption of the value-added tax (VAT) on diesel.
This announcement was made by Minister Mohammed Idris of Information and National Orientation in a statement issued on Sunday, following discussions between government representatives and labor unions regarding the potential industrial action.
“VAT on diesel will be waived for the next 6 months,” he said, noting that it was part of the resolutions reached during the meeting with organised labour in Abuja.
Although one of the labour’s requests is to mitigate the increasing transportation expenses through the adoption of alternative energy sources, the minister stated that the government is dedicated to expediting the deployment of Compressed Natural Gas (CNG) buses to alleviate the challenges in public transportation caused by the removal of the PMS subsidy.
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