A Federal High Court in Abuja has ruled against the ₦10 per litre excise duty on carbonated drinks, declaring it unlawful. The tax, introduced by the Nigerian government in 2022, was challenged by the Nigeria Employers’ Consultative Association (NECA), which argued that it unfairly burdened businesses.
After three years of legal battles, Justice O.A. Egwuatu dismissed the Ministry of Finance’s objections and ruled that the tax directive exceeded legal authority. The court also invalidated the circular approving the levy, marking a major win for businesses and reinforcing the need for lawful taxation policies.