OPS Require tax Vacation from all tiers of govt

OPS Require tax Vacation from all tiers of govt

THE strategic stakeholders of the economy have cried out that the 3 tiers of government should grant them tax vacation as it would help the ailing sector to heave a sigh of relief against the catastrophic effects of the Covid-19 pandemic.

In his speech, Mr. Mallinson Afam Ukatu, Chairman, Non-Metallic Mining, Manufacturers Association of Nigeria (MAN), regretted that the Nigerian business environment is growing more aggressive and excruciating, coupled with all forms of levy and multiplicity of taxes.

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Ukatu stressed that the hostile business environment has been compounded with the escalating exchange rates and forex deficiency combined with all the Covid-19 pandemic.

“One of the most challenging is the dilemma of border closed, which is yet to be suitably addressed as well as the elimination of payment of numerous taxes which we’ve been searching for. For the nation to come out of recession as a country, the government must get rid of all multiple taxes levied on producers, and all the ministries that are visiting factories with all forms of charges should be cautioned. The government should encourage producers manner of formulating policies that are investment-friendly. The government should grant tax holidays to manufacturers during this period of general economic hardship when we have to come of a downturn. They ought to think of incentives to producers rather than exploiting or punishing them with levies and taxation. The government should make low single payment loans accessible with less bureaucracy if the country must experience growth. Lifting tax burden of the producers will help in creating more employment, thus raising jobless youths from the street,” he stressed.

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Adebayo said,’Nigeria has been reported to be at risk of a significant demand-supply crisis and faces possible domestic shortage and loss of N2.27 billion at the trade from its top five import countries. Four of Nigeria’s top trading partners and export resources including China, USA, Spain, and Netherlands that account for 45 percent of Nigeria’s imports, are all battling Covid-19 and strategising solutions to recover their badly hit markets.”

In his remarks, the President of the Association of Bureaux De Change Operators of Nigeria (ABCON), Alhaji Aminu Gwadabe, has emphasized measures to achieve a virile real industry growth in Nigeria, saying that the Nigerian business environment is becoming more hostile and unbeatable.

Gwadabe claimed the horrible business environment has been compounded with the escalating exchange rates and forex deficiency combined with all the Covid-19 pandemic.

He pointed out that for Nigeria to emerge out of recession, the government should remove all multiple taxes levied on producers, advising that the economic managers also encourage producers by way of formulating investment policies that are friendly.

“The government must grant tax holiday to manufacturers in this period of overall economic hardship if we must come of recession. They should consider incentives to producers and not exploiting or penalizing them with levies and taxes. The authorities must make low single payment loans available with less bureaucracy if the country must experience expansion,” he advocated.

Reacting, the Acting Director-General of MAN, Ambrose Oruche, stated the policies devised to drive production in the nation aren’t supportive, expressing his uncertainty if the sector would be out of the doldrums by the 1st quarter of 2021.

He pointed out that using a penchant for overseas goods would make locally made products struggle the moment the African Continental Free Trade Agreement (AFCFTA) kicks off next year.

He said the unemployment record of the 2nd quarter, 2020, showed that 21.8million Nigerians were unemployed, out of a labour force of 80.2 million Nigerians.

He said policies must be implemented to improve ease of doing business and reducing the cost of doing business, especially for SMEs