Nigerian Govt. Policy on vehicle proof of ownership annual levy

The Federal Government led by Bola Ahmed Tinubu is leaving no stone unturned in his drive for revenue generation. His recent policy lends credence to his passion for revenue generation. 

While Nigeria’s democracy was nascent he created more Local Council Development Areas (LCDAs) in Lagos but it didn’t sit well with the then President, General Olusegun Obasanjo. Consequently, the Federal Government had to stop the federal allocation to Lagos State since the creation of LCDAs contravened the provisions of the 1999 constitution which doesn’t recognize such “inventiveness”. 

Necessity they say is the mother of invention; out of necessity occasioned by the paucity of funds Tinubu had to think outside the box on how to generate funds to run the state. Lagosians bore the brunt. They were heavily taxed and levied. Now, Tinubu needs to understand that he is the President of Nigeria and not a Governor of a state who was almost emasculated by paucity of funds but had to focus on revenue drive for the running of Lagos State.

 Read Also: OBNOXIOUS CBN POLICY SHOULD BE REJECTED – Abana

It is common knowledge that Buhari mismanaged the Nigerian economy and our account as a nation is not only in red but in minus. Unfortunately, the application of Lagos State policies of ‘yesteryear in today’s complex Nigeria will not work! Fuel subsidy has been identified as the major cankerworm that has eaten very deep into the fabric of our nation and has almost ravaged it beyond repair. 

In Tinubu’s presidential inaugural address, he wasted no time emphatically stating that fuel subsidy is gone! We saw the price of petrol skyrocket from about N193 to N540. This shook the entire nation and its effect has been debilitating as inflation characterized fuel subsidy removal. This brings me to the heart of the matter: the introduction of annual levies for vehicle ‘proof of ownership’. 

The Federal Government has said with effect from July 1, 2023, every car owner must pay a thousand naira annually for “proof of vehicle ownership”. This is another low for the Federal Government, the policy is illogical. Is unintelligent, not just illogical that a car owner will be levied annually for owning a car. 

Why should a Nigerian be levied for owning a car and why should a Nigerian pay for proof of ownership every year for the same vehicle? So, if I have a car that’ll use for four years or more, I’ll have to pay proof of ownership to the government annually. It just doesn’t make any logical sense. Maybe, the government will also ask married couples to go to the registry and renew their union annually for a fee. 

The Federal Government has given the impression that its goal is to fleece Nigerians. Any responsible and people-friendly government should be thinking about cushioning the effect of the removal of fuel subsidies on Nigerians and taking appropriate and decisive measures to see to it that inflation is checked. 

Instead of blatant anti-populist policies like the purported increase in the tariff of electricity, increase in salary of political office holders (which has been denied), and other obnoxious levies the government should be thinking of giving tax breaks to SMEs, mass transit schemes, and other measures to ameliorate the sufferings of the masses. Citizens alone shouldn’t bear the brunt of reviving a comatose economy; rather various categories of political leaders should lead from the front by making the necessary verifiable sacrifices for the nation and for the people they lead. 

The Presidency, the National Assembly members, Governors, and legislators of the various State Houses of Assembles should voluntarily make sacrifices by having salary and allowance cuts if they are genuinely concerned about rescuing the comatose Nigerian economy. By doing so, the people will know that the government has the best interest of the citizens at heart. The annual levy on proof of ownership is a bad policy that should be withdrawn immediately. 

Nnamdi Abana 27/06/2023