…Gives Govt 21 Days Notice To Reverse Outrageous Increment Of Consolidated Taxes
Abia State may soon witness scarcity of petroleum products as leadership of the Independent Petroleum Marketers Association of Nigeria (IPMAN) operating in the state has threatened that members of the association in the state would forcefully shutdown their business premises following what they described as “outrageous” increment of consolidated taxes.
The decision was reached on Wednesday, at the end of IPMAN’s stakeholders meeting held at the IPMAN secretariat in Osisioma local government area of the state, chaired by its chairman, Mazi Oliver Okolo alongside the union’s zonal chairman: Bobby Dick, a national BoT member, Nze Godfrey Chukwunyere and a former chairman of the union, His Royal Highness Eze Sir Jude Onyenagbaru.
Okolo in a statement that he jointly signed with the secretary of the union, Obike Imo Mascot, on behalf of the stakeholders also disclosed that the union has resolved to give the state government 21 days notice to reverse the increment in consolidated “Draconian Taxes” or the members would be forced to close down their businesses across the state.
According to the IPMAN chairman, contrary to what their colleagues in other sister states in the southeast are paying, the state under the leadership of incumbent government in the state was bent on subjecting them to paying the consolidated revenue which the state raised by about 600%. An increase which IPMAN noted, was taking its members out of business.
IPMAN leadership stated that the 21 days ultimatum was their last resort to getting plight addressed by the state government after several meetings with officials of the state government even worsened their situation and efforts to directly interface with the governor of the state, Dr. Alex Otti, blocked by some of the state government officials.
IPMAN leadership who stated that they were not going to negotiate for any payment outside the ₦150,000 that counterparts in other southeast states were paying said “It is with a heavy heart feeled with trepidation that we issue this Communique on the afore stated subject matter herein addressed thus:
“That the Government of Abia State through the State Board of Internal Revenue has arbitrarily increased the consolidated revenue hitherto charged Petroleum Marketers in the State by about 600%, from #95,000 to #600,000.
“That this increment came at a time Petroleum Marketers are battling to stay in business after the total implementation of the Subsidy removal regime which has seen over 60% of our members out of business, due to their inability to meet up with Procurement of Petroleum products and the associated running cost.
“That several attempts we have made to interface with the government or Governor of the State, HE Dr. Alex Chioma Otti have been rebuffed by the agents of government who perhaps fear that our meeting with the people friendly Governor will make them loose what they plan to get as the Governor will likely ask them to revert to Statusquo or at worse implement an increment that will not exceed 50%
“It is interesting to note that inquisition into what is obtained in our sister states shows that marketers in a state like Ebonyi pays about #100,000, while those in Enugu state pay an average of #110,000 depending on the zone you are operating.
“In view of the above it is worrisome to say that we in Abia State will be paying a whooping #600,000 on consolidated revenue, which is exclusive of Abiapluc payment.
“The effect of this if implemented, will translate to consumers in Abia State buying Petroleum products at a very high premium far different from what is obtainable from other states.
“Looking at this precarious situation we have found ourselves coupled with the groaning of our members, we are left with no other alternative than to issue a 21 Days Notice to the government of Abia State to back down on this Draconian and Outrageous increment of the consolidated taxes or we may be forced to close shop as it has become very impossible for us to keep afloat in this murky and cloudy business environment that our sector has become.”
