Passengers who were charged value-added tax (VAT) on airline tickets purchased in 2025 will receive refunds, following clarification from tax authorities, the Nigerian Civil Aviation Authority (NCAA) has said.
The update was provided by Michael Achimugu, director of public affairs and consumer protection at the NCAA, in a post on X on Friday.
The development comes weeks after the regulator summoned Overland Airways over complaints that some passengers were asked to pay VAT on tickets bought before the new tax regime took effect in 2026.
The dispute began after a social media user alleged that her grandmother was compelled to pay an additional N11,286 as VAT on a 2025 ticket. The NCAA subsequently directed the airline to seek clarification from the Nigeria Revenue Service (NRS) on whether the tax applied retroactively to tickets issued before January 1, 2026.
Providing the latest update, Achimugu said the NRS had confirmed that tickets purchased before January 1, 2026 were not subject to the revised VAT provisions.
“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 also thanked the NCAA’s Director-General, Chris Najomo, along with other senior officials, including Olayinka Babaoye-Iriobe, Mary Tufano-Eche and Ifueko Abdulmalik, for their roles in resolving the matter.
The NCAA reiterated its commitment to protecting passengers’ rights and ensuring compliance within the aviation sector.




