Labour Party’s Enugu State Governorship Candidate, Chijioke Jonathan Edeoga, has written an open letter to Governor Peter Mbah, condemning the “inhuman and punitive tax burden” imposed on citizens.
Edeoga described the multiple taxes as “economically regressive” and “whimsical,” ignoring the principles of taxation and the people’s extreme poverty.
He stated that the people of Enugu are “walking ghosts,” crushed by the tax burden, and begged Governor Mbah to “have mercy” on them. Edeoga referenced biblical passages, including Psalm 123:3, which says, “Have Mercy upon us, for we have had more than enough of contempt.”
In the letter titled “Heavy And Multiple Taxes: Have Mercy On The People Of Enugu State” dated September 15, 2024, Edeoga criticized the administration’s tax policies, urging Governor Mbah to consider the people’s plight and revisit the tax regime.
The former spokesman of the House of Representatives, questioned, “how now does one begin to reach the compassionate corner of the heart of a man who picks up his people, people whose lives have been scorched by the harsh desert sun of poverty and begins to squeeze them for water? How can anyone reach that recess in your heart to stoke the sleeping embers of empathy that may still exist in you with the hope that you begin to see the people of Enugu State who you have taxed to intolerable levels, not as capital to be exploited and maximized to the ends possible, but as human beings deserving protection, compassion, love and support.
“Since your assisted-ascension to the highest office in our state, the needle of the perceived stress scale has been on the increase and has reached breaking point, resulting in frustration-induced high blood pressure and gruesome economic hardships. These have conspired to result in the shutdown of countless small and medium businesses,” he lamented.
“While the pliable Nigerian media is awash with sponsored news of your drive for investment, the reality on the ground indicate that businesses that have survived the cruelly squashing tax regimes you impose at every whim have taken flight to other places of capital comfort.
“Even if you didn’t study Economics in Secondary School, with the benefits of your fabled multiple exposures, you will by now be conversant with the Principles of Taxation as propounded by Adam Smith. When this renowned economist and philosopher propounded the theory of Good Taxation in his popular book, ‘The Wealth of Nations’ published in 1776, he argued that taxation “should follow four principles of fairness, certainty, convenience and efficiency”.
“Fairness, he wrote means that taxation, should be compatible with taxpayers’ conditions, including their ability to pay in line with personal and family needs. Certainty, he further advised, should mean that taxpayers are clearly informed about why and how taxes are levied.
“In terms of convenience, Smith talked about ease of compliance for the taxpayers, that is how simple the process for collecting or paying taxes should be, while, efficiency, the final leg of the quadruped stated that the administration of tax collection should not negatively affect the allocation and use of resources in the economy.
“Looking at your tax regime vis-à-vis what Adam Smith laid down some 248 years ago, I am worried that all of the timeless principles are being flagrantly violated and we can do a routine itemization.
“You have increased tenement tax for bungalows in Enugu metropolis from N30,000 to N150,000 per annum. Tenement tax for high-rise buildings in high-density areas of Enugu metropolis increased from N50,000 to N300,000. Tenement tax for high-rise buildings in low-density areas of Enugu metropolis increased from N80,000 to N400,000. Land instrument/titles registration increased from N70, 000 to N300,00. Private schools tax increased from N30,000 to N200,000 per annum. Trading shops of all kinds were forced to pay a new flat rate of N21,000 wherever they are located in the state irrespective of the number of persons occupying them. This excludes charges for refuse disposal and management and other arbitrary charges.
“In timber sheds, Mr. Mbah, a single poline attracts a tax of N100. This in addition to the N21,000 the shop owners also pay. Daily taxes for all buses operating in the state increased from N200 to N2,000. Daily taxes for Tricycles/Keke increased from N100 to N450. Daily taxes for barrow pushers increased from N100 to N2,000. Small business premises tax soared to N25,000. Medium business premises tax skyrocketed to N56,000 while malls are made to pay N200,000.
“In Enugu, we have a Purchase tax which range from N5,000 to N15,000 depending on location. This has been imposed on groceries and all factory products, from which VAT had already been collected, meaning there is double taxation, assuming that all other taxes listed are morally justifiable. We recently got what you called Carbon emission/generator tax for hotels ranging from N88,000 for small hotels to N200,000 for big hotels.”
Edeoga regretted that this is happening when government has failed to provide stable electricity, adding that even in the infrequent times that public power is available, the people still battle with “crippling estimated billings because the power company has not democratized the installation of prepaid electricity metering systems”.
“As it is today, the people of Enugu State are being taxed without their inputs and with no regard to their capacity. Their cries bring to mind the agony of Taxation Without Representation. In 1929, Igbo women rose against the colonial government in the historic Aba Women’s Riot, to protest against taxation without representation; a hundred years later and under an administration led by our own citizen, we are confronted with the same challenge. Those who fail to learn from the lessons of history are doomed to repeat it,” he warned.
