Abia Govt Denies Heavy Tax Burden, Says Multiple Tax Collection Points Banned

The Abia State Government has rejected claims that residents are being subjected to excessive taxation, insisting that its tax policies are aimed at improving compliance without placing an unfair burden on citizens.

The government also denied allegations that politicians and business owners are being charged exorbitant fees to obtain their tax clearance certificates.

Commissioner for Information, Okey Kanu, made the clarification on Monday in Umuahia while briefing journalists on the outcome of the State Executive Council meeting presided over by Governor Alex Otti.

Kanu said the state had prohibited multiple and arbitrary tax collection points, stressing that residents should not be subjected to repeated collections by different agents. He also maintained that the Abia State Internal Revenue Service could not independently change approved tax rates.

On claims that the government taxes money paid into residents’ bank accounts, Kanu explained that the administration does not impose arbitrary taxes on funds or payments simply because they enter a taxpayer’s account. He said tax authorities instead determine through lawful assessment and verification whether particular funds qualify as taxable income.

The Chairman of the Abia State Board of Internal Revenue, Uche Elekwachi, similarly denied that the board had increased taxes. He said its current activities were focused on enforcing existing tax laws and improving compliance.

Elekwachi added that the board had introduced measures to reduce revenue leakages and strengthen the state’s tax administration system. He said the reforms were intended to make revenue collection more transparent and accountable.

The revenue board chairman also disclosed that some individuals posing as tax agents had recently been arrested in Umuahia for allegedly defrauding traders. According to him, the suspects had been charged to court and would face prosecution.

The Abia government’s position comes amid complaints from some traders and opposition parties over taxation in the state. The administration, however, maintained that its revenue reforms would be implemented within the law while protecting residents from arbitrary collections and fraudulent tax agents.