NECA decries attitude of govt agencies over tax matters

The Nigerian Employers Consultative Association (NECA) has decried the negative effects of the overbearing attitude of some revenue generating government agencies in performing their duties.

Speaking on the forthcoming 60th anniversary of the Association, Director General of NECA, Olusegun Oshinowo explained that there was every reason for the employers’ body to celebrate the anniversary.

He argued that while employers were striving to function in a harsh operating environment, the activities of regulatory agencies were threatening the survival of businesses.

“Businesses are confronted by regulatory issues, chief among which is multiple taxations. The various demands from the agencies are expected to be met by one company without the agencies being concerned as to the cash flow of that company. The effects of the challenges faced by companies or the fact that the demands are from different agencies of government on companies are the redundancy exercise experienced in the country and closing down of businesses, among others.”

He pointed at lack of access to foreign exchange by the real sector, lack of raw materials for manufacturing companies, volatile exchange rates, high interest rates and fall in crude oil price also adversely affect employers across the country.
Oshinowo hinted that NECA was in consultation with the Lagos Inland Revenue Service (LIRS) against restraining any of its member companies on tax issues without first consulting with it, adding that NECA was equally institutionalising the same understanding with other state boards of internal revenue services.
While reiterating the employers’ body support for a new minimum wage, he explain that such negotiations must not be done without consideration for the survival of businesses.
His words: “It is within the rights of labour and anybody or institution to clamour for increment in the national minimum wage. However, certain factors have to be taken into consideration before arriving at a new national minimum wage for the country.