Telecom operators in Nigeria have complained consistently of multiple taxations, saying it has hampered the growth of their businesses, which many industry watchers believe has been essential to the economy over the years.
The telecom industry as of today is one of the few industries in Nigeria making huge contributions to the country’s Gross Domestic Product (GDP). Telecom contributes about 10 percent to the GDP with an investment of about $70 billion.
But this is being hampered by various forms of tax from state government, who see telecom as a revenue spinner for the state, rather than seeing them as a business enabler and partner in progress.
Here is a comprehensive list of the various levies being paid by the telecom operators include Business Premises fees, Radio & TV charges, Parking charges, Sanitation fees, Land use, Fumigation and Pest Control charges. Also included are Fire service, Infrastructure Maintenance and Building Fitness charges.
This is worrisome and naïve at best on the part of the state government as their action often lead to disruption of service for telecom subscribers.
The Nigerian Communications Commission (NCC)’s Director of Compliance and Monitoring Regulation, Mr Efosa Idehen, had at a forum in Lagos admitted that the current multiple tax regime is killing telecom business in the country. He argued that most time the poor quality of services experienced in the telecom industry is occasioned by the various taxes imposed on telecos.
He explained that when the telecoms are not able to pay, the state agencies shut down infrastructures, leading to unavailability of networks.