Residents of Lagos State, Nigeria’s commercial capital are not pleased with Governor Akinwunimi Ambode for the increment in Land Use Charge
The governor has been in the eye of the storm since the Lagos State government commenced distribution notices for the payment of Land Use Charge for 2018. Many are pointing fingers at him as the mastermind of the increment in Land Use Charge.
According to reports, there was an increment of 400% on Land Use Charge, which many felt was ridiculous. Some described it as “callousness” on the part of the Lagos State government.
The Nigerian Bar Association (NBA) Ikeja branch as a result, issued a seven-day ultimatum on March 7, 2018 to reverse the draconian tax law.
Last week Tuesday on March 13, the NBA led a protest comprising of rights activists from different Civil Society Organisations (CSOs), student bodies and market women.
As early as 7 am, the protesters who gathered at the NBA Ikeja branch secretariat marched through Oba Akinjobi Way, GRA, to Awolowo Road in Ikeja.
Chairman of the group of lawyers, Adeshina Ogulana, who addressed the protesters, said the state government introduced an oppressive tax regime.
The Secretary General of the Joint Action Front (JAF), Abiodun Aremu, said, “We note, from our preliminary study of the obnoxious Land Use Charges that the working people and the poor masses of traders, women and artisans would be the greatest victims of the wicked policy.”
Two days later, the Lagos State government reduced it by 50%. But that doesn’t seem to have gone down well with the people of Lagos State as many who spoke to The Next Edition asked what happens to those who can’t afford to pay even the 50%.
Mr. Kayode Salami, a resident of Adeniyi Jones, Ikeja in a chat with The Next Edition complained bitterly about the increment. Apparently dejected, he said: “While I was on my way to the office last week, someone from the Lagos State government came to my house and gave me the bill. I asked what it was for and he mumbled ‘Land Use Charge’. My bill was N1.2 million. I was shocked and angry at the same time. Why should I pay N1.2 million annually to the Lagos State government for a house I built with my sweat?”
When told that it has been reduced by 50%, he said, “That is still unfair. Reduction or not, it is extortion. What does Lagos State do for me and my family? My children attend Federal Government Colleges, I provide water for myself through borehole, I buy gas, fuel and others. When my children or anyone in the house fall sick, the government provides nothing. Even the estates is being secured by private security men hired by the estate committee. I ask again, what is Lagos doing for me?”
Even with the 50% cut, Ogunlana says “the reduction is arbitrary and illegal. The 50% reduction was not in line with our demands and the demands of the average Lagosians. We need a total reduction of rates. Everybody knows how difficult it is to get money under this harsh economy. So, the government should consider total reduction. The rumored reduction is not acceptable. Don’t trust this government. This is democracy and if there is going to be a reduction you have to consult with the people.”
Another Lagos resident, Sandra Nansak said, “This is coming at a wrong time. No matter how good Governor Ambode’s intentions may be, I think the timing is wrong. Come on! We are in an economic recession. People have lost jobs. The economy is in shambles. The fact that you see someone owns a property doesn’t mean he is doing well financially. Let me give you an instance. There are elderly people who are living off what their children send to them. Are they telling us that if such people can’t pay these ridiculous bills, they will be chased from their houses?”
A shop owner at Alaba International Market, who simply gave his name as Ejiofor expressed sadness over the matter. “There was no proper communication between Governor Ambode’s people and ordinary Nigerians. Why didn’t they consult us (the people)? Why should such bills be passed into law by the Lagos State House of Assembly without taking the common man and the plight of Lagosians in general into consideration. The best thing to do is to vote out the ruling All Progressives Congress (APC). They have become too comfortable,” he said angrily.
The Organized Private Sector (OPS) has also rejected the reduction. Less than 24 hours after the state government announced a downward review of the charge, OPS on Friday petitioned the State Commissioner for Finance, Akinyemi Ashade, rejecting the reduction.
In a petition signed by Mr. Segun Oshinowo, OPS threatened that should government fail to address the concerns of the business community in Lagos, it would be left with no other choice than to go to court as they did in 2002.
The petition read in part, “The Organized Private Sector (OPS) appreciates Governor Akinwunmi Ambode for the announced reduction in the invoiced rate of Land Use Charge demand notices sent to businesses and residents. This is a demonstration of his avowed commitment to listen to alternative views.
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“However, having analysed the announced concessions by government, our position is that the reduction fell short of expectations of the business community. Government has not addressed the fundamental request in our formal submission to it, namely reduction in both or either of the Base Percentage Rate or (and) Assessed Market Value. These are crucial issues we had call on government to address. A reduction of 50% over the invoiced rates is far off from the mark on the relief that will ameliorate the over 500% increase in the new rate.
“In the spirit of long-standing partnership and on-going social dialogue between the State Government and the Business Community, we therefore, request that you take a second look at these propositions.
“May I also inform you that we have the mandate of the business community to challenge this law in court, as we did in 2002 should the government continue to shun our request for a respectful and constructive dialogue between it and the OPS, which is highly desirable for the resolution of this issue.”
Meanwhile, the Lagos State Commissioner for Information, Mr. Kehinde Bamigbetan, has urged residents of Lagos State not to allow politicians incite them against the government. According to him some statements about the Land Use Charge are not true.
Speaking with The Next Edition in a telephone chat, Mr. Bamigbetan said, “With the reduction, there is now installment payment. There are no more penalties for late payment. Let me make it clear, there is no Land Use Charge for retirees and pensioners. If you are disabled, you are given 10% discount.”
But some retirees have already been issued bills. “They should go and complain. This Bill was passed into law by the Lagos State House of Assembly. Anyone who is opposed to this after the reduction should go to the tribunal. Things should be done orderly. There are rules for everything.”
Bamigbetan also dismissed claims that the law was targeted at some people. He said, “People saying such are politicians. People will want to play politics with it. We have also warned the NBA not to allow politicians use them.”
As the Land Use Charge controversy and outrage lingers, most Lagos residents are praying that the Lagos State government under Governor Ambode listens to the cry of the people and revert to its original charge.