Chairman of the Presidential Tax Reform Committee, Taiwo Oyedele, has clarified that the proposed N500 levy on every N10,000 fuel purchase will not begin in January 2026 as previously speculated. The actual start date will be announced later by the Minister of Finance
The proposed levy sparked public outcry, with many Nigerians calling for its suspension following rumours of a January 2026 implementation.
In a video released on Friday, Oyedele explained that the levy is part of a provision in the new tax law, building on a surcharge on fuel enacted under the FERMA Act several years ago. “This provision does not take effect as of January 2026,” he said.
He added, “These fuel surcharges will take effect on a date in the future, based on an order to be released by the Minister of Finance. We trust the Minister to determine the most appropriate time for implementation.”
Oyedele also clarified the purpose of the revenue from the surcharge, stating, “The intention is to earmark and dedicate the revenue from this tax to provide transport infrastructure that can reduce logistics costs, lower transportation expenses, and ultimately help bring down inflation for Nigerians.”
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