Local News

Despite huge revenue generates from VAT in Ogun, we gain nothing – Gov Abiodun

Governor Dapo Abiodun of Ogun State has explained why the state joined other states in the dispute over who should collect the Value Added Tax (VAT) between the Federal and State Governments.

According to Abiodun, his government was taking advantage of the VAT controversy to ensure “Ogun gets its fair share from the revenue being generated from the system.”

The governor disclosed this Thursday when he hosted members of the Institute of Chartered Accountant of Nigeria (ICAN) in his Oke-Mosan office, Abeokuta.

According to the governor, in spite of the huge revenue being generated from VAT in Ogun, what the state gets from the Federal Government “does not reflect what it generates,” insisting that the state action on the VAT controversy was to ensure fairness.

“We have joined the fray on the Value Added Tax because we believe that a state like us, which generates huge fund from it, is not getting fair share of the proceeds. Not only are we producing, we are also a consuming state,” Abiodun said.

He explained that Ogun generates so much money, yet, it does not have “a bigger chunk of the fund we worked with our sweat and blood to generate.”

Abiodun lamented that Nigeria was spending so much in subsidizing petroleum products; this, he said, resulted in “wasting funds needed to provide basic amenities.”

He informed the ICAN leadership that the state had generated N75bn in the first three quarters of the year 2021, stressing that it was working towards doing better next year.

Speaking, the ICAN President, Mrs. Comfort Olu Eyitayo, said that the institute had made known its position on VAT, pleading for the cooperation of the state ministries, departments and agencies to place the state in its rightful position.

Admin

Contact/Whatsapp No: +2348137451665, Twitter: @globalgistng1, Facebook: globalgistng, Email: globalgistng@gmail.com
Back to top button