Obiano Suspends Taxes for Low Income Earners to Cushion Effect of Recession

David-Chyddy Eleke and Charles Onyekanmuo in Awka

Anambra State Governor, Chief Willie Obiano, on Tuesday announced the suspension of certain category of levies for low income earners in the state.

Consequently, the governor and his administration, after reviewing the hardship being suffered by people of the state as a result of the nationwide recession said his tax relief intervention is for wheelbarrow pushers, hawkers permit and consolidated emblems on commuter busses.

In a special broadcast by the governor to the people of the state yesterday, tagged: ‘Economic Stimulus Package,’ he said the suspension of the taxes for this social category was to help them cushion the effects of the recession.

“Following the formal announcement by the federal government that the nation’s economy has gone into recession, I consider it my duty as your governor to distil the message of the economic situation of the country down to the grassroots.

“I am happy to announce to you that I have come up with a stimulus package that will ease the pain of the recession and help our dear state bounce back to prosperity.
“Consequently, our intervention comes in four key areas – tax relief programme, special intervention programmes for Small and Medium Enterprises (SMEs) and large enterprises and social intervention programme for low income households and finally, intervention in infrastructure-for-jobs,” the governor said.

The governor said the objective of the tax relief programme is to evaluate existing taxes, levies and fees in the state and introduce some waivers and in some cases, scrap the collection of some illegal levies imposed on the people.

The state Commissioner for Information and Communication Strategy, Ogbuefi Tony Nnacheta, who briefed journalists after the governor’s state wide broadcast said the state would be losing a total of N200 million annually by suspending these taxes, but felt that the wellbeing of the people of the state is more important than making money.

Nnacheta said the state government came up with this as a way of trying to be a solution to the problem of the country instead of letting its citizens be victims.