Abia govt addresses rumoured tax hike

Abia State Government says it will not impose a heavy tax burden on citizens.

The state government also said it was not imposing outrageous fees on politicians and businessmen for the release of their tax clearance certificates.

The denial was in response to allegations by some traders and opposition parties that Abia residents were currently suffering under heavy tax regimes.

Addressing journalists in Umuahia on Monday about the outcome of this week’s Executive Council meeting presided over by Governor Alex Otti, the Commissioner for Information, Okey Kanu, denied the allegations.

He stated that multiple and arbitrary tax collection points had been banned by the state government.

He also said the Abia State Internal Revenue Service did not have the power to unilaterally alter tax rates.

Kanu said the government’s position was not to arbitrarily tax funds or payments made into taxpayers’ bank accounts, but to determine, through lawful assessment and verification, which portions qualify as taxable income.

Also, the Chairman of the Abia State Board of Internal Revenue, Mr Uche Elekwachi, said the board did not increase taxes but was only enforcing existing tax laws.

He added that it had introduced systems to improve compliance and block revenue leakages.

He disclosed that some fake tax agents who were recently arrested in Umuahia for defrauding traders had been taken to court for prosecution.