Presidential Committee Refutes 25% Tax Claims on Building Materials

The Presidential Committee has officially dismissed claims regarding a proposed 25% tax on building materials under the Nigeria Tax Act 2025. In a statement released on Sunday, the committee's chairman, Taiwo Oyele, responded to a viral video featuring former Minister of Transport, Rotimi Amaechi, who alleged that the new tax law would impose heavy charges on construction-related transactions.

The committee clarified that the act does not contain any provisions for such a levy and emphasized that the law is designed to lower housing costs, stimulate real estate development, and provide relief to tenants and small contractors. The committee warned that the misinformation could create unnecessary fear and confusion among investors and the general public, especially with the upcoming 2027 general elections raising concerns about potential economic hardship.

The Nigeria Tax Act 2025 is part of a broader fiscal reform agenda aimed at simplifying tax administration and providing targeted relief, including a rent relief cap of N500,000 and VAT exemptions for residential rent.