Nigeria leads the world on fee collection innovation and broad ideas on how to extract more levies, fees, more from its citizens. Where we struggle is how to make them better, richer, and boomer! Yes, “Lagos State government in conjunction with the Federal Road Safety Commission (FRSC) has begun to implement the proof of vehicle ownership initiative recently announced by the federal government…The certificate requires an annual fee of N1000.”
Yes, you need to pay yearly to prove that you own your car. Not really something new but the name is nonsensical. Just call it Annual Car Ownership Tax, but they will not do that since tax ordinance is handled differently, making it harder for the Ministry of Transportation, instead of the tax agency (FIRS), to keep the money.
They could have also called it Annual Vehicle Registration Fee but that is also another tax jurisdictional issue (remember the stamp duty tussle on who keeps the fund).
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So at the end, it is named “proof of vehicle ownership” initiative, and that it is a service offered by the transportation ministry. Lagos kickstarts it, and it is coming to the local government area near you.
Nigerians Kick As Government Moves to Enforce Proof of Ownership Certificate Levy on Motorists
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