Foundation for Partnership Initiatives in the Niger Delta (PIND) has decried the negative effects of multiple taxes and illegal levies, saying they are clogging the wheels of businesses and the economy of the Niger Delta.

The foundation, which organized a workshop in Port Harcourt, Rivers State, at the weekend, on dangers of multiple and illegal taxation, said such  levies from the federal, state and local government levels exerted enormous burden on small and medium scale businesses, particularly those in the agricultural value chain sector

Speaking at the event, the Analysis and Advocacy Manager, PIND, Chuks Ofulue, lamented that the anomaly had reduced business incomes and caused the closure of businesses in the region.

Ofulue said: “One of PIND Foundation’s focus is to see how we can advocate against constraints for economic development in the Niger Delta.

“We have looked at multiple taxation and illegal levies as one major constraint against economic growth in the Niger Delta because it affects small businesses, particularly those in the agricultural value chain sector.

“That’s why we are doing this, so that these small businesses can have improved income and improved livelihoods over time that is sustainable.

“Multiple taxation and illegal levies are quite disruptive to their activities. It reduces their business incomes and affects some of the businesses in such a way that they go out of business overtime.”

Ofulue called on the three tiers of government to automate tax administration to avert duplication of tax collection.

He said: “We have the federal, state and local governments collecting taxes, some of those taxes are duplicated or triplicated in most cases across states because the administration of these taxes are not tied. “There are legislations around the taxes that are legal, but those taxes that are even legal are duplicated at the three levels; take education tax for instance, those are duplicated.

“But I’m glad that the Federal Government has set up a committee to look at those multiple layers of taxes that are legal and see how we can reduce them and remove duplication or triplication as the case may be.”

Speaking about the negative impacts of multiple taxes and levies on female traders, the Executive Director, Centre for Creative Development Strategies (CCDS), Port Harcourt, Nancy Iheduru, said it had led a lot of emotional trauma on the business owners.

Iheduru said: “I’m actually more interested in the very informal sector, women traders, those at the table market, those in shops, artisans and all of those whose incomes are not measured.

“So when taxes and levies are collected indiscriminately, it impacts negatively on them, first, most times when their wares are destroyed or confiscated when that is all they have or they had borrowed to sell and suddenly their products are confiscated, they may not be able to pay the taxes or levies.

“There is a lot of emotional trauma that goes with it because the economy is not friendly, everyone is looking for ways to survive, so when the tax burden is heavy on the poor, it impacts negatively.”

The Rivers Tax Justice and Governance Platform (RTJGP) condemned the punitive tax and levies administration employed by state and local governments.

The Rivers State Coordinator of RTJGP, Amaechi Justin, said: “As a platform and a civil society actor, we support that the government should collect taxes, whether at the federal, state or local government level, because we have found out that taxes are the most sustainable source of development and economic growth in society.

“However, we do not agree with the practices that abuse the rights of people, especially women and girls who are petty traders who go out to eke out a living. So such modus operandi needs to change.

“They need to begin to look at deploying technology for collection or tax administration in Rivers State. That way it will reduce human to human contact that has created that opportunity for people’s rights to be abused and for people’s properties to be destroyed.”(THE NATION)