₦airaland Forum

olabrad:
It is saddening that many Yoruba Muslims do not know that Sharia law has little to do with religion. It has everything to do with tradition and culture of the Arabs before Islam started

ch214:
Ultimately, the issue of prostitution in Abuja requires a comprehensive and multifaceted approach that addresses the root causes of the problem and provides support for those affected.

Brenbentondiaz:
Lolz. The tax bill states that if the beef is consumed in Lagos the VAT is paid to the Lagos State Govt. Is it that people don't read or something? If they like let them spice the beef and roast it and package it as suya, as far as it is consumed in Lagos, the VAT is paid to Lagos. The only way this would make sense is if they packaged the beef and consume the beef by themselves (this is not happening in a million years), then they get the VAT in their states.

Blue3k:
How is that the case if the beef was purchased in let's say Kano at wholesale location then transported to Lagos at retail store. Is VAT not charged at each point in the supply chain? Why are they not both getting taxed? This sounds like a sales tax when only the final customer pays whatever the tax is.

DeLaRue:
To be fair @ Bandiaro, VAT is a bit complex, but I will try and explain it.

From your scenario, my understanding is that the wholesaler will pay VAT (currently 7.5%) to the meat processing factory in Kano, but the wholesaler will be able to claim the VAT back (get a refund) from the FIRS since it is not the final consumer. Because it can claim it back, the VAT has not crystalised at that point, so the government has effectively not made/generated the revenue at that point.

Once the wholesalers transports the meat to and sell to retailers in Lagos, the wholesaler will include VAT (7.5%) as part of the price to be paid by the retailer.

Once the retailer sells to the consumers, the retailer too can go to FIRS and claim a refund of the 7.5% VAT that was included in the price it paid to the wholesaler.

As you can see, both the wholesaler from Kano, and the retailer in Lagos, can claim back the VAT they paid, which means they have not really lost anything to VAT.

The retailer will also include 7.5% VAT in the price it sells to its Lagos customers/consumers.

However, unlike the wholesaler and the retailer, the consumer will not be able to claim back the VAT from FIRS.

So, effectively, it is the consumer that actually pays VAT.

That is why it is effectively a consumption tax.

Have you noticed that businesses have been quiet about the VAT tax bills That's because they are not the ones paying the tax. Whatever they pay as VAT to other businesses, they will be able to get a refund from FIRS.

DeLaRue:
You don't seem to understand how VAT works.

VAT is a consumption tax. It is based on where a product is purchased/consumed, not where or who produced the product.

Based on the Lagos cow trade scenario you outlined, all the VAT will go to Lagos State, not the cattle rearers or the State where the cattle were raised.

Bandirao:
Stop selling them cows, chickens or goats to any southern state for meat. Cut them from your states and package them and charge VAT

Sannisege:
Well, with the proposed tax bills, VAT goes to where goods are consumed and not where they are produced. So all the monies calculated by the Op will still go to where the processed beef is consumed. Therefore the premise of your argument is already faulty. Moreover, VAT may also not be charged on food products.

CodeTemplarr:
They have zero plans to develop or industrialize so reject any move that rewards developed states for their effort in accommodating industries.

lamentor78:
If they stop selling cows to Lagos and Lagos decided to buy from Benin Republic , will they eat their cows...... anyhow they are still the losers

loffyloffy:
It's a sound idea, though you have to consider the cost refrigeration, and specialised transportation to preserve the meat and make sure they are still fresh when the get to Lagos.

Bandirao:
Stop selling them cows, chickens or goats to any southern state for meat. Cut them from your states and package them and charge VAT

The north is better than it seems. If we choose not to be lazy that is up to us, but we can do better.

ednut1:
same Niger that is backed by Russia. Go and invade na

lawani:
It will just be a cycle of.attacks and reprisals. The way out is to ban cattle from roaming around so that clashes between herders and.farmers can stop. Help the herders to establish ranches and arrest those who.break the law

Abaki5:
How sure it will work considering open corruption that is the fears menh

Abaki5:
You are educating them and the same time threatening them on how they cannot survive even if they accept to try it.
What should I call you now?

DeLaRue:
As you rightly said, VAT is not on the exclusive list, which means each State can enact its own VAT/Sales tax law. River State under Mr Wike took the matter to court and won. I recall Northern Governors were pleading with Wike not to continue with the case 'cause they know it would be to the disadvantage of poor states.

Yet, some of them are now trying to frustrate a reform of the current outdated arrangement.

DaddyCoool:
So, mention one African official (not even president) that has ever resigned like Nixon. Simple: African leaders/officials DON'T resign. Not only that, the leaders play it such that no matter what they do, they can't be impeached - the would-be impeachers are in their pockets!
Coup (something that has NEVER happened in the country we blindly copied) is what consistently removes them from office

helinues:
Which of the prison is functional? I mean both state and FG prison?

buckeyemedia:
No one is selling or giving anyone any prison, no state police will be created, all na cruise on the docile minded electorate.

Blue3k:
In the next 5 years state policing will be passed into law. States that have already banned open grazing will enforce their laws. More states will ban open grazing in the south. The federal government in an effort to be neutral on the issue won't accept herdsmen in their jails since it doesn't violate federal law. The states enforcing open grazing laws will be first to establish their own prisons.

DeLaRue:
You made a good point. Excellent.

I suggest you write to your House of Rep member and Senator with the suggestion that the availability of state prisons should be made a prerequisite for a state establishing state police.

That will be your civic contribution to the debate.

Don't include the bit about poor or rich states.

Edygrin:
Then what people like you should be advocating for is true federalism so that each state can go back, tab the little resources they have, accrue revenue then pay a certain percentage to the FG so that they can secure themselves instead of waiting for the FG to share allocation. By then they'll be nothing like "poor states" because states will be living within their means and paying salaries within their means.

Saying states that can't afford to have state police or run state prison should follow the status quo is rubbish unless you're part of those benefiting from the insecurity.

And up till this moment non of the state governors have been against state police, non has raised any financial issues about it, I wonder why you're saying all these now when non of the governor is complaining.

Bye and good night

Edygrin:
If it's so rosy for the Federal government then why are you so against state police, you want the national assembly to make it hard for poor states to have state police then go on to blab about how it will benefit the FG if they do. Do you people smoke before creating threads?

vanbonattel:
Op, stop this your phobia for state police, it is the only thing that will stop crimes.

Leave the matter of inmates, we will cross that bridge, when we get there.

Edygrin:
Of what benefit is it for a state to build and operate a prison?

Blue3k:
The federal government will benefit by the long run reduction in prison population. The prisons are over crowded due to state law offenders. Most of these inmates are awaiting trial. It will provide and incentive for states to hire more judges, reform bail laws, or opt for lighter sentences for crimes such fines. States will be less likely to rush to form police forces if the full cost of policing is shifted to them immediately. This means more responsible and wealthier states begin first.

Edygrin:
I don't know if it's just ignorance or plain stupidity, Akwa Ibom State built the Ikot Ekpene Prison and handed it over to the federal government because no state is allowed to run a custodial/correctional service.

How do you expect states to build prisons when they're not even allowed to run them?

State police will change a lot of things including amending the constitution to allow for states to run their prisons.

givedemwotowoto:
Are there states in Nigeria without state prisons? Every state should have a state prison

DaddyCoool:
And who'd then enforce the impeachment and have you ever wondered why no American president (the system we blindly copied) has ever been removed through impeachment?

DaddyCoool:
How? Are they C-in-C of any army or police?