Telecom
MTN is Largest Contributor to VAT Pool, Pays N200Bn Monthly—PFPTRC
Taiwo Oyedele, chairman, Presidential Fiscal Policy and Tax Reforms Committee (PFPTRC) has disclosed that MTN Nigeria contributes over N200 billion in Value Added Tax (VAT) monthly, making it the largest contributor to the nation’s VAT pool.
Oyedele made the disclosure recently while speaking as a panellist during Channels Television’s Town Hall on Tax Reforms.
He used the platform to highlight disparities in the current VAT distribution system and explained the reforms aimed at addressing them.
According to the tax expert, the current system allocates all VAT paid by the country’s biggest telco to Lagos State, where the company’s headquarters is located, even though the services that generate this revenue are consumed nationwide.
“MTN is the largest contributor to VAT in Nigeria. So they, in fact, pay VAT of over N200bn every month; the gap between them and number two is huge.”
He added, “Today, all the VAT paid by MTN is credited and attributed to Lagos State, even as calls are made in Kano, the FCT, Ekiti, Edo, or Kebbi.”
Part of the reform bill proposes adjustments to ensure a more equitable distribution of VAT revenues across states based on actual consumption rather than the location of corporate headquarters.
To demonstrate the implications of the proposed reforms, Oyedele provided a hypothetical redistribution model of MTN’s VAT contributions.
He illustrated how the reforms would allocate the VAT revenue based on consumption rather than the location of the company’s headquarters.
Under this new framework, Lagos State, which currently retains the full N200bn, would see its share reduced to approximately 20 per cent, while other states across the federation would benefit from a fairer distribution.
“This adjustment ensures that states where the VAT is generated get their fair share,” Oyedele said.
“When you analyse the data, you see Lagos State’s share reduces slightly, but every other state gains.”
The tax reform bill, which aims to address longstanding issues in Nigeria’s fiscal policies, includes provisions for revenue redistribution, addressing inefficiencies, and promoting fairness in the tax system.
The reform proposal has sparked debates recently, with some critics accusing the committee of pushing policies that could adversely affect some parties.
Oyedele dismissed these claims, emphasising that the current system is flawed and unfair. “If you’re doing the wrong thing, how can Lagos State disagree with us when we propose to fix it?” he argued.
Lynda Saint-Nwafor, chief Enterprise business officer, MTN Nigeria, has assured the network subscribers that the new end-user billing system for the use of USSD services will jot affect them.
USSD, otherwise Unstructured Supplementary Service Data codes are commonly used for banking transactions, airtime recharges, and other mobile services.
The telco said that there is no significant impact or change other than the fact that they will now pay the same N6.98 per session (120 seconds) with their airtime instead of direct bank debit.
Saint-Nwafor, said this during a chat with MTN MIP fellows, explaining that the Central Bank of Nigeria (CBN) and the Nigerian Communications Commission (NCC) have ordered telecom operators to ensure that the new billing model resolves trust issues and ensures transparency in the billing process.
“Our regulator insisted that at the end of every month, we are going to be providing history and statistics on the performance of the service across the board”, she explained.
Saint-Nwafor added that the new billing model has standardized messaging across all operators and ensures consistent communication with customers.
“We will take all the error codes and map them into messages that are standardised across the board. So, if you initiate a transaction, you will know if it is failing. And, when the transaction fails, you will know if it is from your bank or the telco,” she explained.
The U.S. government has recovered $225 million in what is now the largest seizure of funds linked to a cryptocurrency investment scam.
In a statement released Wednesday, June 18, the U.S. Attorney’s Office said the recovery followed an extensive investigation by the FBI and the U.S. Secret Service, using blockchain analysis and other forensic tools. The statement did not confirm whether any arrests had been made.
According to the authorities, the stolen funds originated from fraudulent cryptocurrency investment schemes that tricked victims into believing they were making legitimate investments. More than 400 individuals around the world, including dozens in the United States, were reportedly affected.
The operation involved a sophisticated money laundering network that carried out hundreds of thousands of blockchain transactions to obscure the source and ownership of the stolen assets.
“These scams prey on trust, often resulting in extreme financial hardship for the victims,” said Shawn Bradstreet, Special Agent in Charge at the U.S. Secret Service office in San Francisco.
Bradstreet added that U.S. officials hope the recovered funds can eventually be returned to the rightful victims.
Cryptocurrency investment fraud accounted for over $5.8 billion in reported losses in 2024 alone, according to the statement.
In a rousing declaration that is electrifying minds across the continent, Hon. Nnaemeka Ani, Special Adviser on ICT to Enugu State Governor, Dr. Peter Mbah, has called for a homegrown digital revolution under the banner “Africa Will Rise: By Code, By Courage, By Us.”
Hon. Nnaemeka Ani
The message, part challenge, part philosophical—seeks to galvanize African innovators to move beyond buzzwords and build technology with impact and legacy in mind.
“Let’s stop building for hype. Let’s start building for legacy,” Ani urged while speaking to ICT journalists over the weekend. “Let’s stop waiting for someone else. Let’s start creating the future—on our own terms.”
At the heart of Ani’s vision is a shift from tech consumerism to tech authorship. With innovation hubs sprouting across cities like Enugu, Lagos, Kigali, Jo’Burg, and Nairobi, and a growing community of developers, engineers, and entrepreneurs determined to solve Africa’s unique challenges, the movement is already taking shape.
Ani emphasized that Africa’s future lies not in flashy apps or international admiration but in persistent, intentional solutions that uplift communities—solutions that digitize public services, bridge rural-urban divides, empower women and youth, and build resilience in food and climate systems.
“We have the talent,” he said. “Now it’s time to harness it—to stop building for likes and start building for lasting impact.”
With support from leaders like Ani and rising momentum in Africa’s tech corridors, it seems that a new chapter is being written—one line of code at a time.
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