The Organised Private Sector (OPS) says it is not satisfied with the Lagos State Government’s reduction in the percentage rate on Land Use Charge and other taxes.
OPS spokesperson, Mr Olusegun Oshinowo, said in a letter addressed to the Lagos State Commissioner for Finance, Mr Akinyemi Ashade, that the demands of the sector were yet to be met.
Oshinowo commended Gov. Akinwunmi Ambode for the reduction in the invoiced rate of the Land Use Charge, saying it was a demonstration of his avowed commitment to listening to alternative views.
The News Agency of Nigeria (NAN) reports that the new Lagos State Land Use Charge Law and other taxes had from Jan. 28 replaced that of 2001.
Ambode had said that the new tax regime was designed to help the government to generate additional revenue needed to develop the state in the light of increasing demand for urban and rural infrastructure and other expenditure.
But Oshinowo said OPS fundamental request in the formal submission to the government were reduction in both or either of the base percentage rate of or (and) Assessed Market Value, adding that these had not been met.
He said that the reduction of 50 per cent over the invoiced rates was far off from the mark on the relief that would ameliorate the over 500 per cent increase in the new rate.
Oshinowo urged the government to take a second look at the propositions in the spirit of the long-standing partnership and ongoing social-dialogue between the state government and the business community.
He, however, said that the business community would not hesitate to challenge the law in court, as it did in 2002, if the government continued to shun its request for dialogue.