The Nigeria Civil Aviation Authority (NCAA) has clarified that airline tickets purchased before January 1, 2026 are not affected by the new tax laws, directing that passengers wrongly charged Value Added Tax (VAT) be refunded.
NCAA made the disclosure Saturday via a post on X by the Director of Public Affairs and Consumer Protection, Micheal Achimugu.
TheFactDaily noted that the clarification followed guidance from the Nigeria Revenue Service (NRS), which confirmed that tickets bought in 2025 remain exempt from the revised VAT regime, even if the travel date falls in 2026.
The issue had arisen after Overland Airways charged VAT to some passengers at check-in in 2026 for tickets purchased the previous year.
Acting on the NCAA’s directive, the airline sought further clarification from the revenue authorities.
With the NRS position now clear, Overland Airways has committed to initiating refunds for all affected passengers, describing itself as a responsible and law abiding operator.
The regulator noted that while the airline had initially explained its interpretation of the tax provision, the responsibility for definitive clarification rested with the NRS. The matter, it said, has now been resolved satisfactorily.
Achimugu commended the Director General of Civil Aviation, Chris Najomo, for providing leadership in addressing the situation, alongside key directorates that worked to ensure a fair outcome.
Reaffirming its mandate, the NCAA stated that it remains committed to safeguarding the rights of passengers and maintaining regulatory clarity within the aviation industry.
