COVID-19: MSME exempted for paying tax in cross river state
By Punarimam Fehintola
Governor of cross river state Ben Ayade said as the covid 19 pandemic continues to bit header petty traders, okada riders, small scale businesses are exempted for paying tax in cross river state.
He added that The Cross River Anti-tax Agency was charged to ensure small scale businesses and peasant farmers to enjoy tax holiday. Governor Ben Ayade gave the charge during the inauguration of the agency in Calabar, the capital city of Cross River State.
Governor Ayade, who said the holiday was part of the State’s post COVID-19 palliatives and in furtherance of its tax exemption law, insisting that the poor must be protected.
The Governor frowned at the activities of illegal tax consultants, whom he said impose unnecessary taxes on the poor and vulnerable in the State and urged members of the agency to immediately swing into action.
According to him, “we charge you to ensure that the poor masses of Cross River State and the small business owners do not come under the harsh hands of the desperate search for money by tax consultants”. He further urged the agency to put an end to illicit taxes on people. We have a tax law here that prescribes the people, who are exempted from taxes.
The Governor advised small business owners to resist illegal tax collectors, and report such persons to the anti-tax agency for appropriate action. The micro businesses exempted from tax payment includes commercial motorcycle and taxi drivers, small saloon owners and street food vendors. He had exempted all commercial motorcycle riders, taxi drivers, airport taxi drivers, small saloon owners, small catering and restaurant points. All those people who sell basic things struggling to earn a living, were exempted from paying tax.
According to the Governor, he said “it is part of his post Covid-19 palliative to the people of Cross River”. This the Governor did, thus led to the inauguration of CRS Anti-Tax Agency comprising of religious bodies as part of the team to ensure compliance.
Sequel to the Governor’s order on Tax Exemption to the above listed groups, the Team visited Keke riders, Bus-stop drivers in Calabar South, Watt Market, Abasi Obori Market, Mbukpa Market and other Shops all in Calabar South on the 10th of June, 2020 to Interview the people on Tax Exemption and to also ascertain if they are still paying taxes.
The monitoring team found out that for Keke riders, they were still forced to pay #300 every day and #50 per loading which to them they are still paying taxes. When they were interviewed on reasons they had to pay, they responded that they had to pay in order to be allowed to ply the road and to avoid fight due to argument, We were also made to understand that the money collected by them has no receipt and was tagged “CHAIRMAN’S LUNCH”. For Small Scale Businesses in Calabar South they lamented on Multiple Taxation and we were informedthat they tagged the name of ticketing to ‘’Community Levy’’ and other money without Subject attached.
One of the petty trader women that complained bitterly about the payment of tax. It was pathetic to know that for Market women when they don’t comply with the payment, their goods were being taken away, beaten, abused and humiliated. Thus, most times go home without money. Other women interviewed opined that they prefer to pay the ticketing money to avoid being beaten up since they have nobody to complain to and that the tout used are into cultism which if they do not comply with them, they could be tempted to steal, molest and cause pandemonium leading to crises, thus disrupting peaceful nature of the state. A petty trader at the popular watt market in Calabar south who complained of ticketing by the govt. In general, People really lamented on the fact that the Government meant well for them as part of the governor’s post COVID- 19 pandemic pain relief package but some person’s somewhere would not allow it to be implemented.
