Overland Airways to refund passengers charged VAT on 2025 tickets
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Michael Achimugu, director of public affairs and consumer protection at the Nigerian Civil Aviation Authority (NCAA), says Overland Airways will refund passengers who were wrongly charged value-added tax (VAT) on tickets purchased in 2025.
On January 28, the NCAA summoned the airline following a dispute over the payment of VAT on tickets purchased before 2026.The invitation followed an X user’s complaint that her grandmother was compelled by Overland to pay an additional N11,286 as VAT on a 2025 ticket.The NCAA intervened, directing the airline to obtain clarification from the Nigeria Revenue Service (NRS) on whether retrospective taxation applies to tickets purchased before 2026.
Providing an update on X on Friday, Achimugu said Overland has reverted with clarification from the tax authority that tickets purchased before January 1, 2026 were not affected by the new tax laws.
“This means that passengers who were made to pay VAT before check in 2026 for tickets purchased since 2025, were not supposed to have been charged,” Achimugu said.“Overland Airways, a responsible, law-abiding entity, therefore, has committed to redress the situation by initiating a refund for affected passengers.“It is necessary to re-clarify that, even in my initial update about this case, I stated the reasons why the airline felt a need to charge VAT in the way that it did. The onus was on the NRS to clarify, which they have now done. I was also clear about the position of the NCAA.
“This issue has now been brought to a satisfactory conclusion, and Overland Airways has shown transparency, cooperation, and responsibility.”
Achimugu expressed gratitude to Chris Najomo, the director-general of NCAA, and other directors, including Olayinka Babaoye-Iriobe (air transport regulations), Mary Tufano-Eche (legal), and Ifueko Abdulmalik with her team at the flight operation and adjudication (FO&A), for their support and hard work.
The director reiterated the NCAA’s commitment to protecting the rights of all stakeholders in the aviation sector.
Overland Airways to refund passengers charged VAT on 2025 tickets | TheCable
