Artisans across Ebonyi State have raised concerns over alleged double taxation, excessive levies, and harassment by revenue contractors involved in the collection of Internally Generated Revenue (IGR).
The artisans are urging the state government to end the use of third-party contractors in tax collection, describing the current system as exploitative and harmful to small businesses.
The concerns were voiced on Monday in Abakaliki during a stakeholders’ meeting organised by the Artisans Association of Nigeria, Ebonyi State chapter. Leaders from several artisan groups described the present tax structure as unsustainable and unfair.
Speaking to journalists after the meeting, the state president of the association, Engr. Francis John Nwebonyi, said artisans across different trades were affected by the situation.
According to him, artisans are not against paying taxes but are troubled by the methods used by private contractors engaged in IGR collection.
He explained that the introduction of external contractors has led to intimidation, over-taxation, and in some cases the seizure of artisans’ tools and equipment.
Nwebonyi warned that such practices could undermine the impact of government skills acquisition and empowerment programmes.
He noted that many artisans who obtained their equipment through loans and government-supported initiatives are now struggling to remain in business due to the rising levies.
To address the issue, the association proposed that registered trade groups should be authorised to collect taxes within their sectors and remit them directly to the government.
He argued that this approach would promote transparency, improve compliance, and eliminate the excesses associated with third-party contractors.
Also speaking, the chairman of the Ebonyi State Tailors Association, Chinedu Agbe, described the current levy system as arbitrary and burdensome.
Agbe stated that artisans previously paid about ₦14,000 annually but are now receiving tax demands ranging between ₦50,000 and ₦59,000.
He also criticised the lack of transparency in the tax assessment process, noting that contractors rely on undisclosed charts to determine the amount artisans must pay.
Similarly, the chairman of the Welders and General Fitters Association, Soludo Ogodo, blamed the crisis on outsourcing revenue collection to individuals who do not understand the realities of artisan businesses.
He said contractors often impose arbitrary charges and sometimes demand multiple payments within the same year.
Ogodo also recalled an incident where he was allegedly arrested over claims of tax default despite having already fulfilled his tax obligations.
The state chairman of the Nigerian Automobile Technicians Association (NATA), Johnson Azi, also expressed concern over what he described as major discrepancies between official tax rates and the amounts demanded by contractors.
According to him, while the recognised IGR levy for artisans is around ₦14,000 annually, some members are being asked to pay as much as ₦59,000.
Azi stressed that artisans are willing to pay taxes but oppose the involvement of intermediaries who allegedly exploit the process.
Meanwhile, the chairman of the Furniture Makers Association, Chukwu Michael, warned that the development could negatively affect the growth of small-scale enterprises in the state..
He explained that the tax system used to be predictable in previous years but has recently become characterised by excessive and unregulated charges.
Michael cautioned that forcing artisans out of business could ultimately reduce the state’s revenue base and harm the local economy.
Echoing similar concerns, a leader of the vulcanisers’ association, Simon Elom, said the rising levies are already forcing some artisans to close their businesses or relocate to rural areas.
According to him, the trend poses a threat not only to artisans’ livelihoods but also to the broader economy of the state.
Following the meeting, the artisans submitted a formal request to the Ebonyi State Internal Revenue Service asking that tax collection related to their trades be handed over to their associations.
They believe such a move would improve transparency, reduce conflicts, and create a more stable business environment.
When contacted, the secretary of the state IGR board, Barrister Emmanuel Egba, said the board would respond to the allegations later. Efforts to reach the chairman, Christopher Omo Isu, were unsuccessful at the time of filing the report.
Stay updated with Ebonyi News Network for real-time reports, in-depth analysis, and exclusive coverage of policies shaping Ebonyi State.
