Nigerian Telcos call for downward review of taxes, levies

The telecommunication operators, under the aegis of the Association of Licensed Telecoms Operators of Nigeria (ALTON), are finding it hard with the government over what it described as a frivolous taxes and levies.

The operators called for downward review or scrapped of the over 30 taxes and levies different government and its agencies placed on its members.

Gbenga Adebayo, ALTON Chairman, said that item 3 (b) of the Amended Schedule to the Taxes and Levies (Approved List for Collection) Act introduced new levies and taxes under items 12 to 25.

Adebayo told journalists in Lagos last Tuesday that, “ALTON is concerned that the Amended Taxes & Levies Order, 2015 engendered the institution of a multiplicity of taxes across different tiers of government. The industry is also burdened with the enactment of laws at the state levels to legitimise spurious levies and charges on our members, which negates the ease of doing business in Nigeria."

“It is disturbing that the entire instrument has given the state governments authorisation to coerce and disrupt the operations of our members in order to compel the payment of sundry levies, charges and taxes. Rather than the amended order addressing the issue of multiple taxations, it, on the contrary, increased the tax burden of our members and adversely impacted the ease of doing business in Nigeria.”

The Guardian quoted him as saying, some of the imposed taxes, include aviation clearance, site Inspection Fee, hawking permit, building permit, building fitness, sewage fees, fumigation, refuse collection and disposal, capitation fee, shop rate, among others.

He said all these imposed taxes would prevent further investments and limit operators’ expansion drive.

The Nigerian government, under the administration of former President, Goodluck Jonathan, acting through the then Minister of Finance and Coordinating Minister of the Economy, Dr Ngozi Okonjo-Iweala, had on May 26, 2015, amended the Taxes and Levies (Approved List for Collection) Act, Cap. T2, Laws of the Federation of Nigeria, 2004.

Throughout the Jonathan-led government, the Minister was under intense pressure to harmonise taxes and levies payable in Nigeria at all levels because of its bearing on the cost of doing business in Nigeria

Nigerian Telcos call for downward review of taxes, levies

The telecommunication operators, under the aegis of the Association of Licensed Telecoms Operators of Nigeria (ALTON), are finding it hard with the government over what it described as a frivolous taxes and levies.

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