THE Manufacturers Association of Nigeria (MAN) has condemned the rate of double taxation in Lagos State.
According to the association, it affects coherent service delivery of manufacturing operations in the state.
The Vice President of MAN, John Aluya, made this known during corporate meeting tagged: ”Babajide Olusola Sanwo-Olu (BOS) Meets Business”, organised by the Lagos State Ministry of Commerce, Industry and Cooperatives.
Aluya warned that multiple taxation could negatively impact the business environment.
He added that the present law that guides land-use charge confirmed a consolidation of all land-based laws and charges, but most member companies and even the association were being made to pay land use charge and ground rent.
”This is double taxation. We urge your administration to try as much as possible to eliminate double taxation. Today, the central sewage has not been built by the government, but we are being made to individually construct our effluent treatment plants and still pay the treatment charges to the state government without any value derived from the payment,” Aluya said.
He said the state government should implement policies that affect productivity, pointing out a clear decline in capacity utilisation to 49% from 68.5% in the corresponding half of 2019.
“The capacity utilisation for both Ikeja and Apapa Industrial zones in the second half of 2020 stood at 59% and 64.2 %, respectively, a decline from 70.8% and 69.1% recorded for the second half of 2019, respectively. The impoundment of trucks by the Lagos State committee on abandoned vehicles is highly disturbing,” he said.