Automation is not tax hike, Abia govt defends reforms

Abia State Government defends recent tax reforms, claiming they aim to boost transparency, accountability and ease of doing business. According to the state's Commissioner for Information, Okey Kanu, the reforms are designed to make tax administration more transparent, traceable, auditable, automated and taxpayer-friendly. Kanu emphasized that automation, transparency and closing revenue leakages are not tax increases.

Kanu explained that the integration of revenue collection systems, particularly at vehicle licensing offices, is aimed at eliminating cash handling and ensuring payments made by taxpayers are properly accounted for and remitted to the government. He also stated that there has been no increase in Pay-As-You-Earn, land or vehicle taxes, and the Abia State Board of Internal Revenue does not have the power to unilaterally alter tax rates.

Dr Emmanuel Okpechi, Special Adviser to the Governor on Internally Generated Revenue, clarified that the reforms are intended to promote transparency and ensure taxpayers declare their income honestly. The consolidated demand notice for businesses is introduced to harmonize various charges and eliminate multiple collections by government agencies. Okpechi added that the government is strengthening the system, making transparency work, and no citizen will be taxed beyond what the law prescribes.