• Asuquo Nana Udo
Itoro Bassey
The Akwa Ibom State House of Assembly committees on appropriation and finance, along with public accounts, have been tasked with collaborating with the state Internal Revenue Service (IRS), local government tax authorities and other relevant tax collection agencies to find solutions and streamline the taxation process.
The state board of internal revenue was also urged to create a tax-friendly environment and launch extensive campaigns to educate small businesses about their tax obligations.
House Speaker, Rt. Hon. Udeme Otong, gave the directive in his remark following a motion on “Public outcry over multiple taxation by Akwa Ibom small businesses: The need to consolidate and harmonize taxes to create a tax and business friendly environment in the state”, sponsored by Asuquo Nana Udo of Ikono state constituency.
The Speaker expressed concern over reports of recklessness and misconduct by some tax collectors and local government revenue officials, saying that it was vital to address these issues to protect the interests of the people and maintain fairness in the taxation process.
Asuquo Nana Udo in his motion had emphasized that a single agency should be responsible for tax collections, rather than scattering the payments across multiple entities.
The consolidation and harmonization of taxes, according to him, would not only ease the burden on businesses but also ensure a more efficient and effective tax collection system.
The motion, raised by Asuquo Nana Udo, emphasized the need for policies that balance the generation of internal revenue with the welfare of businesses.
Udo expressed worry that small enterprises in Akwa Ibom State have been struggling due to the harsh economic climate, compounded by the weight of multiple taxation from various levels of government.
“The effect of these multiple taxation is not far-fetched as it particularly affects the micro, small and medium enterprises (MSMEs) which constitute the mainstay of our state economy. This is capable of reducing the state’s entrepreneurial drive, economic competitiveness, and ease of doing business.
“Within a year a Small & Medium Enterprise (SME) 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”, he said.
In other legislative matters, the 2024 Appropriation Bill presented by Governor Umo Eno has successfully passed its second reading.
The budget, amounting to N845.632 billion, was thoroughly discussed by lawmakers and has been referred to the House Committee on Appropriations and Finance for further legislative work, to report back in two weeks.
