The Federal Government has confirmed that it had commenced the implementation of the payment of 7.5 percent Value Added Tax on Automotive Gas Oil, popularly called diesel.

Officials of the Nigeria Customs Service and Federal Inland Revenue Service confirmed this in Abuja, stressing that diesel was not exempted from the payment of VAT based on the VAT Modification Order 2021.

The spokesperson for the service, Abdullahi Maiwada, explained that the VAT Modification Order 2021, exempted petroleum products of Harmonised System Codes.

An official of the FIRS, Tobi Wojuola, also confirmed the development, stressing that it was the position of the VAT Modification Order.