Landlords must pay Land Use tax – APC insists
The Edo state government has said that it would enforce the Land Use Charge Law to raise revenue for the state.
The Land Use Charge law is a law that compels landlords in Edo state to pay taxes on their houses and that will in effect affect the cost of renting a house in the state, because the landlord would definitely shift the burden of paying the land use charge on the tenants.
The Land Use Charge law was suggested by Godwin Obaseki, the APC gubernatorial candidate while he was economic adviser of Adams Oshiomhole. His intention, according to official explanation of the government, was to compel landlords in the state to pay extra taxes to increase the revenue base of the state.
But many landlords in the state, especially in Benin city faulted this claim saying that if the state wants to increase revenue, they should look into agriculture, industry and ICT, not tax landlords who are bearing the yokes of multiple taxations already.
Philip Shaibu, the APC deputy gubernatorial candidate, who was leader of the House that passed the bill, is said to be the sponsor of the bill that has been challleged by civil society, and is currently a subject of litigation.
TheThe PDP has said that it will review this law as it does not intend to punish landlords with taxes. Rather, the party said that they would find innovative ways to raise the revenue profile of the state, including investments in agree, industry, ICT, and other sources.
Speaking at Uselu, during the PDP gubernatorial campaign, the PDP candidate, Pastor Osagie Ize-Iyamu, stated that the Land Use Tax by Oshiomhole and his party was repressive. He noted that the policy did not emanate from the consensus of the people.
According to Hon Frank Evbuomwan, Commissioner for Urban Development, he said that the Edo state government would enforce the Land Use law.
“The state executive council has decided to go on full enforcement. Several owners of property have been charged to court and we are awaiting court orders to move against those property to recover the land use tax. Let it be clear that once the court judgement starts coming out more defaulters would be enrolled in the court process to enable government recover its taxes,” the Edo state Commissioner said.