The Federal Government has announced Value Added Tax (VAT) exemption on Diesel, Feed Gas, Liquefied Petroleum Gas (LPG), Compressed Natural Gas (CNG), Electric Vehicles, Liquefied Natural Gas (LNG) infrastructure, and Clean Cooking Equipment.
The government has also announced the introduction of the Notice of Tax Incentives for Deep Offshore Oil & Gas Production that provides new tax reliefs for deep offshore projects.
The Minister of Finance and Coordinating Minister of the Economy, Wale Edun, announced the unveiling of the two major fiscal incentives, saying the initiatives are aimed at revitalising Nigeria’s oil and gas sector.
The minister said the two new fiscal incentives are Value Added Tax (VAT) Modification Order 2024 and Notice of Tax Incentives for Deep Offshore Oil & Gas Production, which according to him, are in accordance with the Oil & Gas Companies (Tax Incentives, Exemption, Remission, etc.) Order 2024.