By Kamal Tayo Oropo
Tenants to pay five per cent withholding tax 
CHURCHES  and mosques in Lagos State may now have to "give unto Caeser, what is Caeser's and render to God, what is God's," as the 2012 fiscal regime will now include activities in those religious houses under the state's tax net.
Besides, tenants will, from January, deduct five per cent of rents payable as withholding tax and remit same into the government's treasury.
Speaking at the third Lagos State Taxation Stakeholders Conference, held recently in Ikeja, Governor Babatunde Raji Fashola, explained that the new tax regime was scripted to enhance the state's revenue base and promote effectiveness of governance.
Fashola explained that churches and mosques, who owned buildings used for business purposes, were not exempted from paying taxes to the government because they earn income from such businesses.
He said: "On the churches and the mosque, let us remember that whether it was a church or a mosque, it was first a building. And therefore, it is built with the same building materials that were used to build other private facilities.
"Nobody knows the difference at that time. And therefore, it cannot escape the regulatory law of the state in making building safe, it must comply. It is only when those, who are ordained dedicate the building to the propagation of religion that it becomes a church.
"In the same way, churches own facilities. Churches that run businesses should give something back to the government. Render unto Caesar what is Caesar's and render unto God what is God's."
The governor also said tax should be paid on gifts received by individuals and urged Lagos residents to pay their taxes promptly so that government would have the money to carry out developmental projects.
He, however, appealed to the people to be more tax compliant. "If more people voluntarily pay the right amount of income taxes, the government will find enough money it needs to transform the state,'' he stated.
On the five per cent withholding tax, Fashola said everybody, who pays rent, is collecting agents for the tax. "Everybody, who pays money to a doctor, lawyer for the services they rendered to him, is our collecting agent for that withholding tax.
"And we expect that they fairly collect, issue receipt and account for them. Once we have all of those documents and records, it should be easy for us at the end of the tax accounting year to set off all of these," he said.
Fashola said collection of withholding tax would be part of government revenue drive in the New Year. He promised to enforce the payment of the tax. He said withholding tax would be collected on rent, dividend, contract, among others, stressing that in the case of rent, the tenants would serve as the collecting agents of withholding tax from the landlords for the services rendered.
He explained that the only way to make life as good as they are in the other jurisdictions such as Europe was for the people to provide the government with more resources to do so.
"We have the idea, we have signed on to work and really, whether you think we can do it or not, I think our experience and our record in the past four years show clearly that even if you disbelieve what we say, the evidence before you today makes it difficult for you to disbelieve what we have done and it speaks of what we can do if you give us the chance," he added
Fashola said the role of tax consultants in the internal revenue drive of the state is to track and monitor revenues, payment that you make. "They don't collect. The bills are still done by public servants now under the Internal Revenue Service.
"But at that time, our government did not know how many accounts it had and it did not know what was paid in. So, the money was there, depending on the benevolence of a bank that decided to be honest. But today, at the close of every business day, Lagos State government can tell you how much it has collected and in which bank it is. That is the energy the consultants have brought," he said.
Noting that organisations that provided services deserved to be paid, the governor declared, "they have provided service, they have invested in ICT. It is only fair that they be paid. The only issue that can arise is whether or not we are getting a fair deal for the service that they render. But the idea that somebody who rendered service in a free economy should not be paid is alien to me."
Corporate organisations presented with tax compliance awards included Nigerian LNG, Julius Berger, Coca Cola, Citi Bank Nigeria Limited and Standard Chartered Bank, among others, while private individuals included Chairman of Elizade Motors, Chief Michael Ade Ojo, former Chairman of Punch Nigeria Limited,  Chief Ajibola Ogunshola, former Secretary-General of the Commonwealth, Chief Emeka Anyaoku, among others.

http://odili.net/news/source/2011/dec/21/14.html

Good move

muhehehe. . .Tinubu and his bwoi fash on an aggressive drive 2 rip off lagosians

Even in excellent public administration, we got it covered.

Eko o ni baje lai lai.

God Bless The Great State Of Lagos.

The beauty of taxation/levy is that it makes people engage the system.
These taxes must reflect what's on ground or else na big trouble,the
protest against tolling is an ominous sign.

Our tax system should not be  wholesale lifting of foreign fiscal system it should reflect our cultural values(tax on gift?),there are instances of this in the UK tax legislation(spousal exemptions,nil rate band,chattel rules,gift aid donations relief,annual exemptions e.t.c).

PRAISE THE LORD!!!!

- _{Baba God noni! I thank you for giving Fashola to Lagos State, I pry that the remaining Governors and even the Presidency imposes more taxes on these companies churches.}

Nice move b fash, bt, i dnt want sumtin like dat in Abj, o

Good, We will see law abiding pastors and the greedy ones as well

Wao, did I just read about fashola asking me to pay tax on any gift I receive? Na wa oooo

Democracy must be something more than two wolves and a sheep voting on what to have for dinner.

-James Bovard (1994)

"I shall never use profanity except in discussing house rent and taxes. Indeed, upon second thought, I will not even use it then, for it is unchristian, inelegant, and degrading--though to speak truly I do not see how house rent and taxes are going to be discussed worth a cent without it.
"
- - Mark Twain

^
lol.

Commendable move!!!!!!!!!!

It wil not work

I don't know the mosque system in Lagos but generally mosques don't keep fat accounts like churches, so how will this be implemented? Would they be asked to keep books of account so that there is transparency, and those who earn higher pay higher taxes?

About freaking time,

I hear u sir!

Tax on gifts?
soon Corpers will b paying tax on allowee
BRF d taxmaster

This is a serious one o.
Soon Beggars will be taxed by Fashola.
But why were Native Doctors and spiritualists home not mentioned?

The church will definitely meet up but as per mosque,e go hard o cuz people go just dey pray for their house.

More anti-christ are yet to come.  Beware of your state politicians.

Toll gate fee not enough, Civil servants tax deducted before salary not enough, revenues from offices, shops and market men and women not enough - then Churches tax may be enough?

Still no good roads, no water, no provisions for the people.

This should be simply put that our Lord should be paying tax to the Lagos (Nigerian) Government for having a house where people gather to worship.

Nigerian is approaching the end time.

May kelly:

More anti-christ are yet to come.  Beware of  your state politicians.

Toll gate fee not enough, Civil servants tax deducted before salary not enough, revenues from offices, shops and market men and women not enough - then Churches tax may be enough?

Still no good roads, no water, no provisions for the people.

This should be simply put that our Lord should be paying tax to the Lagos (Nigerian) Government for having a house where people gather to worship.

Nigerian is approaching the end time.

fashola is just following the scripture that says ''give what belongs to caesar to caesar and what belongs to God to God'' besides those pastors ride in private jets so they shouldnt complain.

[size=16pt]What a thoroughly s.tupid governor! Who do these people think they are? Owners of Lagos State? WHO DASH THEIR PAPA Land?


Fashola is NO Robin Hood. He does not love the poor. How can he? He is a prominent member of the Nigerian Establishment that include the so-called men of God! Any money he receives would ultimately go to the STATE i.e. the Establishment. Contracts would be awarded to the same Establishment members who will siphon the money and continue to demand for more. Meanwhile, these money come from the sweats and toil of the common people, most of whom foolishly enrich their pastors.

Nigeria is finished as a Nation.

Has anybody seen Lagos the Great? Far worse than the slums of many nations!

What a joke of leadership!

People need to WAKE UP! All these talks about building an empire city has no SIGNIFICANT BENEFIT for the common people.

So what if they build tall buildings and shopping malls? Na free? Feeding and Housing in Lagos is already more expensive than most cities in Asia, and yet the overwhelming majority continue to wallow in abject poverty. With the ambitious plans of the bloo.dy capitalists, prices can only rise higher until the common people can barely live. WTH is wrong with these bloody Capitalists?[/size]

May kelly:

More anti-christ are yet to come.  Beware of  your state politicians.

^And the hysteria starts simply because:

Dr Know:

Fashola explained that churches and mosques, who owned buildings used for business purposes, were not exempted from paying taxes to the government because they earn income from such businesses.
. . .Churches that run businesses should give something back to the government.

He's not even taxing the churches directly, just saying that they must pay tax on any business that they run. Are churches supposed to be running businesses? BTW Jesus himself paid taxes.

Dr Know:

The governor also said tax should be paid on gifts received by individuals.

^How precisely does Mr Fashola intend to enforce this?

9jafreak:

[size=16pt]What a thoroughly s.tupid governor! Who do these people think they are? Owners of Lagos State? WHO DASH THEIR PAPA Land?


Would the Lagosian Establishment be willing to SHOW us  item by item how the State money is spent?

Has anybody seen Lagos the Great? Far worse than the slums of many nations!

What a joke of leadership!

People need to WAKE UP! All these talks about building an empire city has no SIGNIFICANT BENEFIT for the common people.

So what if they build tall buildings and shopping malls? Na free? WTH Is wrong with these bloody Capitalists?[/size]

my friend will you shut up and go and sit down with your two eyes closed!!!. You see nothing wrong in taxing BUSINESS CENTRES but you see something right in taxing BUSINESSES. Can u hear your stupidity?! When will nigerians change and bwise. For godsake this religious CENTRES make income just like business. SEE by next 2weeks OYAKHILOME will be collecting 2000naira from people all in the name of cross over night. Makin millions. Onlyess he changes to avoid last year insult he recieved and you here talkiing trash. Your head no correct i swear

Mosques and Churches that do businesses and make profits should be ready to pay tax. Otherwise they need to pay nadal.

ttt

USELESS GOVERNMENT AND RIDICULOUS LAWS. NOW THAT YOU CAN NOT ENFORCE TENANCY LAW, LETS SEE THE AGGRESIVENESS WHICH WITH THE TENANT TAX WOULD BE COLLECTED.

BUNCH OF RETARDEES WITH FOOLISH SYCOPHANTS AS FOLLOWERS.

I think tax payment system needs to be reviewed. Imagine somebody living in Agege paying tax to Lagos state govt and Lagos State govt using the tax to provide services in ikeja. While not design a system that tax be paid to local govt and local govt pay certain percentage to the govt, so dat the fund accrue will be benefited by people that locality.

,

What of shrines ?.

hum ,

akpanbaba:

What of shrines ?.

NOT CHURCHES AND MOSQUES BUT THOSE INVOLVED IN BUSINESS LIKE SCHOOLS ,SHOPS AND THE LIKES NO PROBLEM BUT DEFINATELY NOT CHURCHES