Democratic Socialist Movement

For Struggle, Solidarity and Socialism in Nigeria

By - DSM




Tax the Rich, Not the Poor

The Socialist Party of Nigeria (SPN) Lagos State Chapter condemns the new land use charge recently introduced by the Lagos state government and calls for the total repeal of this obnoxious law. We are not swayed by the purported reduction of the charges because it is a well-worn tactic to deceive the masses to believing that the government has shifted ground while, in reality, it has just settled for the originally intended figures. The masses have experienced similar tactics many times with different hikes in fuel price.

We strongly hold that the Lagos State Government does not have moral ground to impose any new tax on the people having not accounted for how the state revenue realized from the previous taxes has been spent. Yes, it is true that the state government has embarked on a few infrastructural projects, but there is utter lack of accountability and transparency in those projects as Lagosians do not know their costs.

We are aware that all the attempts by media and civil society organisations to know the costs of the projects are rebuffed. This can only mean that the costs of the projects are criminally inflated. It also suggests that the real intention behind those projects is not necessarily for public good but to create a conduit for looting of the state resources. Besides, the entire state budget is treated as a classified document while procurement process is kept as a state secret. This is not only undemocratic but also fraudulent. This is why we see the increase as a means of maintaining opulent lifestyles and corrupt enrichment of political office holders both past and present.

We therefore reject the justification by Governor Ambode that the tax increase is needed in order to finance infrastructures. We believe that the current revenue of the state, if judiciously and democratically managed, can largely finance not only provision of physical infrastructures such as roads, railways and waterways but also quality education, health care and decent housing. To achieve this, we call for all political office holders to be placed on the salary structure of civil servants and the cancellation of criminal life pension and severance pays for former governors and other political office holders. We also call for public works department to be well equipped and staff well trained such that they can execute any construction work and not just reduced to occasional patching of bad portions of roads. Also importantly, all projects must be put under open and democratic control of elected representatives of workers, community people and relevant interest groups. All these the SPN will implement if we are in the government of Lagos

We are also of the view that the purported reduction and so-called relief in the land use charge have not addressed the issue of market valuation of properties which can be used to exploit the people by the government and its agents. In any case, we strongly hold that the masses who struggle to build houses in the face of the failure of the government in its responsibility of providing social low-cost mass housing for them must not pay any tax on property. Besides, the failure of the Lagos government in its social responsibilities also means that ordinary people have to provide electricity, water, children education and family health care at huge costs. Therefore, it would be a double tragedy asking such ordinary people to pay additional tax.

We also hold that asking the ordinary people who are landlords to pay land use charge amounts to double taxation as they are not exempted from personal income tax. Indeed, many of these landlords use the rent as a means of eking out a living and pay bills that they would not have if the government plays its roles.

However, we are not against making the rich to pay tax on properties most of which are luxury. We indeed call for progressive tax that puts more tax burden on the rich and super rich. The land use charge is not a progressive tax. It is disproportionately against ordinary people in low and medium income categories.

By and large, the SPN holds strongly that meeting the needs and aspiration of the people in terms of job creation, putting in place basic and functional infrastructures and providing social program will require a planned economy that includes nationalization of the commanding heights of the economy under the working peoples’ democratic management and control. This is the only way resources on a very large scale can be channeled towards economic and social transformation devoid of profligacy, corruption and huge profitability to a few at the expense of the vast majority.

We also see the land use charge as the continuation of anti-poor mega city agenda of the APC government of Lagos which accounts for unjust demolitions of houses, settlements, shops and workshops of the ordinary people as well as arbitrary arrest, heavy fining and imprisonment of the poor masses over sundry offences by the despotic Lagos State task force and tribunal.

We therefore call for a wider mass mobilisation of community associations, trade unions, landlords and tenants’ associations, youth organizations, human right groups, professional groups to resist not only land use charge but all anti-poor attacks by the Lagos State government.

Rufus Olusesan
Chairperson, Lagos State SPN
Monsuru Soyombo
Publicity Secretary, Lagos State SPN
E-mail: [email protected]