JUST IN: Lawmaker seeks legislation against multiple taxation on SMEs in Akwa Ibom
Lawmaker representing Ikono State Constituency at the Akwa Ibom State House of Assembly, Asuquo Udo, has urged the House to Institute legislative backing against the issues of multiple taxation on Small and Medium Scale Enterprises operating in the state.
While noting the negative impact of multiple taxation on the growth of SMEs, the lawmaker called for a harmonization of taxes for a more friendly business environment.
Rising from a motion on notice to the Assembly, Udo regretted that within a year, SMEs or an average shop owner pays taxes and levies ranging from personal income tax, value-added tax, withholding tax, environmental sanitation fees, fire service fees, retail permits, trade permits, development tax, market tax, revenue tax, radio & TV license, signposts, liquor license, mobile advert, food handling, premises inspection, among other taxes and levies to different tiers and agencies of government in addition to payment of huge rents, utility bills, salaries, among other expenses to keep their small businesses going.
He noted that the issue is capable of reducing the entrepreneurial drive of the state, economic competitiveness and ease of doing business.
He, therefore, appealed to the speaker to mandate the House Committees on Appropriation and Finance and Public Account to jointly interface with the State Internal Revenue Service, Local Government Tax Authorities and other relevant tax collection agencies in the state with a view to consolidating, harmonizing and resolving areas of multiple taxation on businesses in the state and as well channel tax collections to a single agency rather than making payment to several agencies.
“As we are aware, in a bid to improve the state IGR through taxes, policies must also be formulated to carry out these activities in a way and manner that will not inflict burden on the businesses of our citizenry.” He said.
In his contribution, the Deputy Speaker, Mr Kufreabasi Edidem, explained that it was impossible for small and medium-scale businesses to survive through multiple taxes and charged the House to step in and arrest the situation for a better future.
In his submission, the Speaker, Udeme Otong, while decrying issues of multiple taxation and its effect in crippling businesses, committed the motion to the Joint Committees on Finance and Appropriations and Public Account for an in-depth study and to report the same to the House in one week.
