In a landmark ruling, a Federal High Court in Abuja has declared the Federal Government’s N10 excise duty on carbonated drinks invalid, delivering a major victory for beverage manufacturers and consumers.
The decision, first reported by Nigerian Stories via its official X handle, comes after months of legal battles and public outcry against the controversial levy, which was introduced as part of the government’s revenue drive.
In its judgment, the court ruled that the excise duty was unlawfully imposed, lacking the necessary legal framework to justify its enforcement. This decision deals a significant blow to the Federal Government’s fiscal policy and raises questions about the legality of similar taxation measures.
Manufacturers and industry stakeholders have consistently argued that the excise duty would cripple businesses, increase production costs, and ultimately burden consumers. With inflation and economic hardship already straining households, many saw the tax as an unjustified financial squeeze on Nigerians.
While the government has yet to respond to the ruling, analysts predict an appeal could be on the horizon. However, for now, the ruling signals relief for both businesses and consumers who have long opposed the controversial tax.
Will the government fight back or accept defeat? The coming days will reveal the next chapter in this high-stakes legal battle.
PIONEER NEWS 