Recession: Obiano sanctions tax wavers for Low Income Earners
In a bid to cushion the impact of the recession on citizens and support retail spending, the Anambra State Governor, Chief Willie Obiano, has announced the suspension of certain category of levies for low income earners in the state as well as offer relief for Small scall businesses.
Consequently, the Governor and his administration, after reviewing the hardship being suffered by people of the state as a result of the nationwide recession said his tax relief intervention is for wheelbarrow pushers, hawkers permit and consolidated emblems on commuter busses.
In a special broadcast by the Governor to the people of the state yesterday, tagged: ‘Economic Stimulus Package,’ he said the suspension of the taxes for this social category was to help them cushion the effects of the recession. He also announced a special intervention programme for Small and Medium Enterprises (SMEs), large enterprises as well as social intervention programme for low income households and finally
“Following the formal announcement by the Federal Government that the nation’s economy has gone into recession, I consider it my duty as your Governor to distil the message of the economic situation of the country down to the grassroots.
“I am happy to announce to you that I have come up with a stimulus package that will ease the pain of the recession and help our dear state bounce back to prosperity. “Consequently, our intervention comes in four key areas – tax relief programme, special intervention programmes for, intervention in infrastructure-for-jobs,” the governor said.
The Governor said the objective of the tax relief programme is to evaluate existing taxes, levies and fees in the state and introduce some waivers and in some cases, scrap the collection of some illegal levies imposed on the people.
The state Commissioner for Information and Communication Strategy, Ogbuefi Tony Nnacheta, who briefed journalists after the Governor’s state wide broadcast said the state would be losing a total of N200 million annually by suspending these taxes, but felt that the wellbeing of the people of the state is more important than making money.
Analysts have applauded the effort as a step in the right direction, adding that it will benefit the economy of the state on the short long run because it will boost retail spending and offer some layer of support for companies struggling to drive sales volume.
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