A new transportation levy has been introduced by the Lagos State government.

According to Sahara Reporters, commercial bus operators in Lagos will now pay N292,000 yearly fee to the state federal government under a brand-new Consolidated Informal Sector Transport Levy.

The new levy by federal government is aside tickets issued by the National Union of Road Transport Workers across the state.

The relocation is designed to harmonise charges gathered by federal government from commercial motorists at garages and parks.

Commissioner for Finance in the state, Dr Rabiu Olowo, asserted that the levy pegged at a flat rate of N800, covered monies for local government, clearing of waste from the motor parks, which was being paid to the Lagos State Waste Management Agency, and pollution, charges which were collected by Lagos State Environmental Protection Agency, among others.

“Personal income taxes of the chauffeurs will likewise be deducted from the N800 levy which begins with instant effect,” Olowo stated.

According to the report, each commercial bus chauffeur was anticipated to pay N800 daily, which builds up into N24,000 monthly and N292,000 in a year with this harmonised levy.

Confirming the development, Chairman of Lagos State Chapter of NURTW, Alhaji Musiliu Akinsanya, widely referred to as ‘MC Oluomo,’ who kept in mind that the union in partnership with the Road Transport Workers Union had actually approached the state federal government to combine the charges collected by different LGAs and agencies to make collection much easier for government.

MC Oluomo explained that the brand-new advancement impacts only government levies however has nothing to do with the union dues charged.

Unique Adviser to Governor Babajide Sanwo-Olu on Transportation, Mr Toyin Fayinka, stated that the development was the stage one method towards overall restructuring of the transport sector; stating it is anticipated to bring sanity to motor parks in line with finest practices globally.

He discussed that cash gathered as levies prior to now were lost to unidentified representatives.

Stressing that research had actually shown that an average industrial bus paid at least N3,000 as due each day while some buses paid as high as N8,000 to N9,000.

“The new development is a type of income guarantee, that would have a strong implication on decrease of levies paid by bus motorists at various points/parks prior to now.

“It will drastically decrease the suffering of the people as it is anticipated to decrease the cost of road transport,” he included.

ToriNG