Lagos Assembly Proposes Bill to End Illegal Tax Collections

The Lagos State House of Assembly, on Friday, conducted public hearings regarding a proposed bill aimed at harmonizing tax and levy collections within the state. The bill seeks to prohibit unauthorized individuals, unions, and associations from collecting taxes and levies on behalf of the state government or local councils.

It recognizes tax authorities and allows them to assess and collect taxes while deploying technology for efficient tax administration. The legislation also stipulates that no state agency or local government council can authorize the Lagos State Internal Revenue Service to collect taxes without clearly defined terms.

Violators who erect roadblocks for unauthorized tax collection face penalties of up to N5 million or three years of imprisonment upon conviction. The bill aims to address issues surrounding multiple taxation, which has become a major concern for residents and businesses in Lagos State.

Speaker Mudashiru Obasa emphasized the importance of public participation in the legislative process, while stakeholders expressed support for the initiative.