21 states adopt new tax law to curb multiple taxation
Twenty-one states have adopted a harmonised tax law aimed at ending multiple taxation, curbing illegal revenue collection and simplifying tax administration across the country.
The Executive Secretary of the Joint Revenue Board (JRB), Olusegun Adesokan, disclosed this on Wednesday during a press briefing at the board’s headquarters in Abuja, adding that the reform had reduced more than 100 taxes and levies to nine categories.
Adesokan said 20 states had enacted the legislation as of Tuesday, before another state joined the list later that day.
“As of yesterday, 20 states had passed it. But by yesterday evening, I understood that we have 21 states now,” he said.
The states that have enacted the Model Harmonised Taxes and Levies Law are Kebbi, Kaduna, Zamfara, Ekiti, Enugu, Abia, Anambra, Gombe, Adamawa, Yobe, Borno, Niger, Plateau, Benue, Kogi, Kwara, Nasarawa, Akwa Ibom, Bayelsa, Delta and Ondo.
The development leaves 15 states yet to adopt the legislation, which was developed in collaboration with the Presidential Committee on Fiscal Policy and Tax Reforms to eliminate overlapping taxes imposed by different levels of government.
Under the new framework, taxes and levies are grouped into nine categories: income tax, stamp duties, property tax, road tax, haulage levy, economic development levy, harmonised levy, user charge and daily ticket.
User charges cover services such as parking, signage, street naming, waste disposal and certain registration fees, while daily tickets include market levies, abattoir fees and transport-related charges.
