The federal government has acknowledged what it called an anomaly where domestic Liquefied Petroleum Gas (LPG) is taxed while tax on imported gas is waived, Leadership reports.

The special adviser to the Minister of State for Petroleum Resources on Downstream Infrastructure, Ms Brenda Ataga, disclosed in Abuja yesterday that the government was addressing the issues. She said that government was also looking into how the gas sector could be structured to become more competitive.

She said, “LPG has zero import duties but there is VAT on LPG and we are in discussions with the Ministry of Finance to balance that anomaly where imported gas has no VAT while domestic LPG has VAT. We are discussing that so that LPG can be a more competitive field and we are addressing the issue of pricing as well.’’