The Manufacturers Association of Nigeria (MAN) has said a mooted VAT rate increment was unfriendly to the manufacturing sector.
The Director-General of the association, Segun Ajayi-Kadir, made the remarks in Lagos, in spite of the rebuttal from the Federal Inland Revenue Service (FIRS) on the issue.
Although the FIRS has refuted the report that it was planning to increase VAT by 50 Percent, MAN said an increment in the tax did not take into account the prevailing times and ongoing government efforts to re-invigorate the economy.
MAN said implementing it at this time would boomerang especially at a time when the minimum wage of N30,000 was just agreed upon.
It urged the Federal Government to rather consider the implementation of the other tax specific recommendations.
(NAN)