Senate plans heavy tax on citizens, establishes National Roads Funds

Road users in Nigeria be in for a multiple tax payment regime if the bill seeking to establish the National Roads Fund is passed into law.

According to anonymous sources, Senator Kabiru Gaya led-Committee on works has recommended strict taxes to be imposed on road users.

Out of about nine taxable items, seven are categorized as charges that might be passed on to motorists plying Nigerian roads. The lawmakers, according to our sources, argue that funds raised thereof will be deployed by the government to maintain the road infrastructure.

Although the bill was not passed for unresolved issues of appointment into the agency, the proposed multiple levies were, however, sustained.

“Fuel levy of N5 chargeable per litre on any volume of Petroleum and diesel products imported into Nigeria and on locally refined Petroleum products”

“Toll fees (a percentage of not exceeding 10% of any revenue paid as user charge per vehicle on any federal road designated as a toll road.”

“Inter-state mass transit user charge of 0.5% deductible from the fare paid by passengers to commercial mass transit operators on inter-state roads.”

“Roads Fund surcharge of 0.5% chargeable on the surcharge on the assessed value of any vehicle imported at any time into Nigeria”.

The fund is to operate independently under the Federal Ministry of Finance.


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