Bitter truth to weeping boys on new tax regime by Ismaila ABUBAKAR
Abubakar sends this piece from Makurdi.
Advertisement
The commencement of N50 deduction from every N10,000 transaction in banks including moniepoint and other fintech outlets will no doubt raise tax revenue, but it will expose weak states with low trade volume and further increases the tears of weeping boys when statistics of trade volume is released for each state.
Advertisement
Aggregate of N50 collected is supposed to be domiciled in each state of the federation under the Federal Inland Revenue Services (FIRS), this will enable a knowledge of trade volume in each state. Such levy is qualified to be state tax to encourage banking culture and electronic transaction activities.
Advertisement
Off takers of farm produce will transfer money or pay cash to farmers while farmers also save or withdraw money. Directly or indirectly, every Nigerian is paying the levy for every transaction.
Advertisement
Furthermore, retailers and buyers will make use of moniepoint or other payment outlets in that chain of transaction to deduct N50 which will be transfered to the pool in each state.
Advertisement
The cry of weeping boys will increase whenever the statistic of trade volume is released. Lagos state has no land to farm, they raise their IGR through tax while those with vast arable land that have the capacity to generate revenue through farming are lazy and crying wolf.
Centripetal federal system encourages indolency, complacency and cap-in-hand begging. The weeping boys who should look inward in their respective states to explore abundant human and natural resources are used to spoon feeding.
Advertisement
Why are the weeping boys scrambling to take large chunk from Lagos to their respective states?
