We’re mandated by law to collect Sales Tax and ‘or’ Value Added Tax (VAT) on products sold on hmd.ng to customers in Nigeria on behalf of the Federal Government.
The standard VAT rate is 7.5%, applicable to most goods and services sold online in Nigeria. Online retailers are required to charge VAT on the sale of taxable goods and services, just like traditional businesses.
Some products are however exempted from VAT, these products include
– Basic food items
– Educational materials (e.g., books)
– Medical supplies and services
No VAT is charged to the customers who purchase these category of products on hmd.ng.
Products sold to customers outside Nigeria also attracts zero VAT charge because such products are considered as export.