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Growing State Economy: Enugu State Gov’t Appoints Collection Agents For Land Use Charges and Withholding Tax on Rent

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By Amaka Amaka

Further to it’s plans to grow the State economy, the Enugu State Government has appointed agents to collect land use charges and Withholding Tax on rents across the state.

The Executive Chairman Enugu state Internal Revenue Service, Mr Emmanuel Ekene Nnamani  stated this Wednesday at an interactive forum organised for stakeholders in the sector.

Nnamani said the Enugu governor, Dr. Peter Ndubuisi Mbah wants all estate developers and plaza owners in the state to collaborate the efforts of his administration to boost internally generated revenue and development in the area.

Nnamani who was overwhelmed by the turnout assured his listeners  that the move was strategized to be a win-win affair.
According to him “government of the state is committed  to changing the narrative of revenue generation in Enugu state. We want to take advantage of the land use charge opportunity. We have to make money for the state and when we talk about land use charge, we are also saying that the estate developers and the plaza owners are critical stakeholders in the sector.

“We cannot neglect your contribution in anyway because all the estates we have in Enugu belong to you. So we want to make you our co-tax collector, just collect on behalf of the government, or set up machinery for collection of tax for the government.”

He continued “We also want to make sure that it’s a win-win situation, nobody will say government is an emperor, nobody will say government is imposing this amount but if you understand why government is charging the land use charge, you will be the one to help us because we believe you have the data about your estates and things would be easier for us.

“Actually it’s neither here nor there, what we want to assure you is that government will not just fold its arm and watch the people suffer because we are collecting tax. W have heard it, we are taking it to our statistics data to monitor the effect of this collection when we start it.
“Government is coming into estate for land use land charge and withholding tax on rent, the same thing with plazas, pay 10% of withholding tax on rent.

On why government action can be justified, Nnamani said: “Government is providing resources to aid the estates to work effectively. We are providing water to the state, those estates that hitherto buy 500 gallons of water for 15,000.00 a week, will no longer buy them, so government has saved them that money, and again, the road that leads to estates especially the gallop roads, government is going to smoothen them. So the security around those estate, government is taking it upon its self, so these are what government is doing to guarantee people staying in those estates or in those plazas, why we want to partner the estate owners is that it will be unfair to bang into the estates without carrying them along, we want you to be the one entering the estates but with our collaboration.

“You sold this as property to them, you know who lives there, go and distribute the demand notice on this, let them pay, then we give you your percentage and you become an agent of the state. You are the chairman of your own estate so that is where the win-win situation comes in you don’t just collect remit to us and we say thank you, no, you have to get something from it. We solicit your partnership and if there is anything you do not understand tell us we will explain.

“The money we generate in Enugu should no longer fly away, it’s a commitment to serve in this government and the governor has vowed that the money we will generate, the people must see the effect of it, you have not actually seen anything, from time to time you will begin to wonder, where they get this money from”.
“We will be getting this money because of you and because you believe in what we are doing. If you believe in us and you help us generate the money, I can assure you that if you close your eyes and open it, you will see that Enugu will be a changed city, and our development is not being concentrated here in the city, this development has to get to the grassroots so that people will understand that development can get to everywhere.

“That’s why we called this meeting to tell you all that we are servants of the people while you are chairmen of your estates.”

In a speech, the Vice President, Real Estate Developers Association of Nigeria (REDAN) South East, Engr. Makuachukwu Chidiebere promised to collaborate the efforts of the state government in ensuring sustainable improvement to revenue generation in the state.

“I like what this state is doing, we can look at what things that are necessary, what things that are expected of us and our members, and what are the benefits that we are going to get.

When we partner to actualize these bills because it’s very essential to us, if a developer struggles to do all the roads to his estate, take care of all the water, infrastructures, get power systems to the estate and then get to pay every other thing again, house will not be affordable for our people. So we must also have in mind that we are providing affordable houses for our people. We are providing homes for a teaming population most especially Enugu state.

“So we are here to chart a course for our people. Left for us, we are going to agree on the best approach to getting these things done, but let it be a win=win thing, let’s have a human face to whatever we are doing.”

The interactive session which was held at Amadeo Event Center had in attendance Estate developers, Plaza owners, Local administrators, representatives of different sectors and the Media.

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