Ogun to generate N2bn annually from border communities

The Ogun State government has said it can generate between N1.5bn and N2bn annually in personal income tax from residents of communities near the states borders.The Senior Special Assistant to the governor on Media and Communications, Mrs. Funmi Wakama ,said the revenue generated from these residents, most of whom work in companies in Lagos State, will be used to develop border towns such as Sango-Ota, Akute, Magboro, Mowe, and Ibafo. Wakama said the state government was collating the data of residents of these border towns, who work in firms in Lagos with the aim of ensuring that their employers remit personal income tax to Ogun State in accordance with the Personal Income Tax Act. "For socio-cultural and economic reasons, getting accurate statistics in Nigeria is usually difficult. But we are in the process of computing a credible data of residents of Ogun that work in Lagos. By our initial estimate, we should get between N1.5bn and N2bn per year as revenue, which we can deploy to develop those border areas," she said.Ogun State had earlier sent mobile text messages advising residents of the state who work in Lagos to ask their employers to remit the personal income tax deducted from their salaries to the state instead of Lagos State. The state government employed mobile text messaging and other means, Wakama said, to enlighten the public on the need to pay their tax to Ogun State, adding that the Lagos State government was in support of the move. She said, "For now, we believe public enlightenment is crucial to achieving our targets. Our people are generally law abiding once they know the true position of the law. Interestingly, we are getting the support of Lagos State. "Payment of income tax to your state of residence is a requirement of the Personal Income Tax Act. We believe residents and employers will begin to comply without further delay and Lagos will also ensure that any tax wrongly remitted to it will be returned to Ogun. The law will always run its course in any society governed by the rule of law."
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