The telecom industry in Nigeria appears to suffer disproportionately from multiple taxation in Nigeria, a report released by SB Morgan has revealed.
The report, titled “Inside Nigeria’s Subnational Fiscal Crisis” also revealed that there are over 40 different taxes and levies meted out upon the Mobile Network Operators (MNOs) carrying out telecom services in Nigeria.
The report stated that the poor network quality is an evident result of telecoms corporations’ numerous taxation.
It said, “A clear impact of multiple taxations of telecommunications companies is the degradation of network quality. This mostly occurs when state authorities, in a bid to enforce compliance in payment of taxes, lock up the facilities of telecom operators and deny them access to their sites for refueling, maintenance or fault resolution.”
The report stated that the regulator’s forceful lockout of telcos would result in catastrophic network disruptions,
