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The Kogi state government has introduced a tax levy on every loaf of bread baked in the state.
Bakers are against the new levy, though the state government claims the move is aimed at improving the internally generated revenue of the state.
The ministry made the introduction on November 9, through a memo signed by the Commissioner’s Permanent Secretary, Usman Ibrahim.
The memo was addressed to the chairperson, Association of Master bakers and Caterers of Nigeria, Kogi State branch. The collection of the levy will start from November 16, 2020. The memo read;
“We write to introduce the above mentioned as the Consultant appointed by the Kogi State Ministry of Commerce and Industry, to collect the above-mentioned levy from all Master Bakers and Caterers doing business in and across Kogi State.
“You are, therefore, required to avail them all necessary cooperation to enable them to carry out their assignment.
“The above-mentioned levy is to be paid per loaf of bread or other confectioneries products produced per day.
“Please do comply with this policy to improve the Internally Generated Revenue (IGR) of the State for the provision of better services and good governance.
“The collection of this levy shall take effect seven (7) days from the date of receipt of this letter. You are expected to communicate this information to all your members.
“Have the assurance of our esteemed regards.”
The Kogi state chapter of the Association of Master bakers and Caterers of Nigeria (AMBCN) has began moves to meet with the consultant the state charged with collecting the fee.
An executive member of the association simply identified as Godfirst said;
“The letter was sent to us that a consultant has been given the job to generate fund from bakery to state government; to generate revenue to (for the) state government,” he said.
“We are trying to meet with the consultant but we have not been able to meet with him. We want to meet with him to give us more explanation.”
“We are not happy about it, presently there is no market. We are facing different types of challenges, and if they are now asking us to pay another tax, we don’t know how we can cope.”
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