No fewer than 36 water factories in Kogi State have shut down due to unbearable burden of multiple taxation.
The development was disclosed by owners and producers of Table Waters in the state, noting that they have ran out of business due to harsh business environment caused by the federal and state tax agencies.
Acting under the auspices of Association of Table Water Producers in Kogi state, the angry business men said, “As of today, over 36 table water factories in Lokoja alone have been forced to shut down, resulting in significant job losses and economic hardship for our members.”
The Association, in a statement signed by its state Chairman and Secretary, Mr. Moses Momoh and Sadiq Uteno, sounded the alarm about the alarming rate of factory closures due to excessive and multiple taxation by state and federal revenue agencies.
“Our members are subjected to a plethora of taxes and levies, which includes Signage fees, Haulage charges, Environmental levies, NASDRA certification documentation fees (N70,000) per factory and SON fees (N8,400) also per factory.”
“For emblems, we are charged 17,500 naira per vehicle, branding 15,000 per vehicle Haulage while 1,000 is being charged daily per vehicle”
The statement stressed that the cumulative effect of these taxes has led to a significant increase in production costs, making it impossible for many of its members to remain in business.
“For instance, the cost of a bag of pure water has skyrocketed from N150 to N400 due to these taxes.”
According to the statement, the association has written several letters to the Kogi State Governor, Alh Ahmed Usman Ododo appealing for relief and waivers on some of these taxes.
“We urge the government to take immediate action to address this issue and provide a conducive business environment for our industry to thrive.”
“We equally appeal to the government to Review and rationalize the taxes and levies imposed on our industry, Provide relief and waivers to help our members recover from the devastating impact of multiple taxation and also create a favorable business environment that promotes economic growth and job creation.”
The association whoever commended the governor for his people’s oriented administration, expressed confidence that their plea would be favorably attended to by the government.
“Governor Ahmed Usman Ododo is a listening governor who is more compassionate to the well-being of the people,” the statement read in part.
