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Controversy as Osun government secretly increases informal workers ‘ tax by 130.5%

The expansion in the level rate charge for casual specialists in Osun State, which involves craftsmans and laborers is as of now creating blended sentiments in the state.

A letter dated seventh November 2019, which was marked by a senior authority of the organization, one Mr Abiodun Olaitan in the interest of Chairman/CEO of Osun IRS was gotten by our Correspondent throughout the end of the week, which advised administrations of tertiary establishments in the condition of another expense system in the Ivory Towers.

Our Correspondent likewise located an inner reminder in one of the higher foundations of learning in the state, educating Provosts and Deans regarding Colleges and Faculties individually about the augmentation.

In the mean time, the Chairman/CEO of Osun IRS, Mr Gbite Ademikanra, when reached on telephone to get his response denied that there is another expense system in the state.

He clarified that there was no arrangement by the organization to raise charges implied for any inhabitant in the state, including casual specialists.

Ademikanra said: ” I don’t know what you mean by over 100 per cent increment on tax meant for informal workers. How much are they paying before, how much are they paying now?

“There is no increment sir, what we do for informal sector people is based on their income, except I know your income now, I wouldn’t be able to determine how much you will pay.

“So, I did not issue any document like that informing anybody of increment in tax, such document didn’t come from my office at all”.

However, the import of the letter, which is on Osun IRS letterhead, coupled with an internal memo in the said higher institution of learning clearly indicates a new tax regime.

The circular from the agency, titled: ‘Compliance and Enforcement of Taxes in The State Of Osun ‘ which was addressed to management of tertiary institutions in the state reads in part: ”

With reference to our earlier circular letter of January 2018, on the urgent need for parents and guardians to pay taxes. I wish to inform all managements of higher institutions in the State of Osun to be fully involved in the exercise.

“For clarity sake, the tax payment is ‘NOW’ Three Thousand Naira, and CPDL is Five Hundred Naira only, totalling (N3, 500) per year. Therefore, for three(3) years, each student is expected to pay a total of Ten Thousand Five Hundred Naira(N10, 500)”.

Internal memo from one of the higher institutions of learning in the state, which was signed by the bursar and titled: ‘REVIEW OF TAX CLEARANCE FEE’ reads thus:” This is to inform the general populace that the State of Osun has reviewed the amount payable as taxes per annum from One Thousand Five Hundred Naira(N1,500) per annum to Three Thousand Five Hundred Naira (N3,500) per annum.

“Therefore, for the three (3) years, each student is expected to pay a total of Ten Thousand Five Hundred Naira (10,500). Each student must collect the E-payment receipt and certificate as evidence of payment “.

When later confronted with the contents of the quoted circulars, the IRS’s chairman quickly said:” There is no increment. I can’t confirm that the letter was written to inform provosts and Vice-Chancellors the need for parents to pay tax.

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