Opinion
On Tax Dodging Strategies
As an old police officer, an investigative journalist and a research fellow, one takes keen interest in nosing around to find out what is brewing in one’s neighbourhood. Leaving aside other malfeasance that are obvious, tax evasion is quite relevant in view of the need to stress human tendency to get even with a system that operates on the basis of chicanery and mendacity. Tax dodgers would say bluntly that they have no moral obligation to contribute towards the sustenance of a corruption-driven system, where tax collectors operate a “black hole” strategy. The black hole leaks into private purse.
After the Dele Giwa saga, the tribe of research journalists became an endangered species, but even then, the habit of nosing around remains a noble tribute to the profession of journalism. The urge to pay clever administrators back in their own coins began during military intervention in politics, particularly after the “Gulf War wind-fall” and the way that an Okigbo panel report on the issue was handled. When a people perceive that they are being hoodwinked by a cult of elites, the reaction usually includes tax evasion, or sit-down-and-watch attitude.
Ask church members how they react, seeing their General Overseers buy private jets and build private universities, their answers would be that tithes, donations, offerings and sowing of seeds have reduced. Ask university students why examination malpractices are common, they would tell you that the malfeasance would stop when Nigeria can have free, fair and malpractice-free elections and operate a corruption-free public administration. Then ask Nigerian business entrepreneurs their attitude towards tax payment and you would be told that they have issues with correct tax remittances and equity in tax assessment.
Strategies in tax evasion include operating of business activities in obscure places – private residences, gardens, kitchens, etc. With massive loss of jobs in recent times, small-scale business operators set out even without registration of the business names or observing regulations on company laws. That would be like asking thieves to tell the police details of their activities. Ranging from fisheries, cattle ranching etc, to different kinds of production and manufacturing, entrepreneurs engage in packaging, repackaging, book pirating and fabrication of various goods, in privacy.
Paints, cosmetics and other chemical manufacturing companies operate in residential areas, without any environmental impact assessment and other business clearance documents. Not even any name for purposes of identification! Of course, reasons for such concealment and clandestine operations include tax evasion and keeping the eyes of kidnappers away from such operators. Residents in such neighbourhood may have faint ideas of such activities through some unbearable smell, noise or when quarrels arise when some customers get short-changed. Police would not come!
Water and drug packaging are common clandestine business operations and tax evaders. After the death of Professor Dorah Akunyili, illegal drug business operators have emerged again with hardly believable bravado and strategies. So also brothel business, jokingly called “slaughter houses,” of which there are increasing numbers in urban towns. Many of them even operate in private homes. Such slaughter houses charge as much as N5,000.00 for one hour outing spent in privacy. Intimidation and threats await any intruder into such taxable businesses by their operators. Do tax collectors ever check the cash books of such houses of lewdness?
Even schools and consultancies operate in such manners and premises that tax agencies rarely know anything about. Perhaps it would not be wrong to say that the most clever and sanctimonious tax dodgers and evaders are religious bodies that grow fast and operate on commercial basis. Such cash-and-carry strategies include levies for some exorcism and redemption purposes, for which there are numerous “ministries”. Money-spinning businesses should be liable to taxation and auditing.
Perhaps, illegal bunkering has deliberately been made to receive great attention while illegal mining which is equally an economic malfeasance, goes on in some parts of the country, unchecked. Economic crimes go beyond bribery and corruption, but tax evasion which is a part thereof, deserves stricter attention. Tax equity is a part of democratic ideals.
Dr. Amirize is a retired lecturer at the Rivers State University, Port Harcourt.
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Empowering Youth Through Agriculture
Quote:”While job seeking youths should continuously acquire skills and explore opportunities within their immediate environment as well as in the global space through the use of digital platforms, government, corporate/ multinational organizations or the organised private sector should generate skills and provide the enabling environment for skills acquisition, through adequate funding and resettlement packages that will provide sustainable economic life for beneficiaries”.
The Governor of Rivers State, Sir Siminalayi Fubara, recently urged youths in the Rivers State to take advantage of the vast opportunities available to become employers of labour and contribute meaningfully to the growth and development of the State. Governor Fubara noted that global trends increasingly favour entrepreneurship and innovation, and said that youths in Rivers State must not be left behind in harnessing these opportunities. The Governor, represented by the Secretary to the State Government, Dr Benibo Anabraba, made this known while declaring open the 2026 Job Fair organised by the Rivers State Government in partnership with the Nigeria Employers’ Consultative Association (NECA) in Port Harcourt. The Governor acknowledged the responsibility of government to create jobs for its teeming youth population but noted that it is unrealistic to absorb all job seekers into the civil service.
“As a government, we recognise our duty to provide employment opportunities for our teeming youths. However, we also understand that not all youths can be accommodated within the civil service. This underscores the need to encourage entrepreneurship across diverse sectors and to partner with other stakeholders, including the youths themselves, so they can transition from being job seekers to employers of labour,” he said. It is necessary to State that Governor Fubara has not only stated the obvious but was committed to drive youth entrepreneurship towards their self-reliance and the economic development of the State It is not news that developed economies of the world are skilled driven economies. The private sector also remains the highest employer of labour in private sector driven or capitalist economy though it is also the responsibility of government to create job opportunities for the teeming unemployed youth population in Nigeria which has the highest youth unemployed population in the subSahara Africa.
The lack of job opportunities, caused partly by the Federal Government’s apathy to job creation, the lack of adequate supervision of job opportunities economic programmes, lack of employable skills by many youths in the country have conspired to heighten the attendant challenges of unemployment. The challenges which include, “Japa” syndrome (travelling abroad for greener pastures), that characterises the labour market and poses threat to the nation’s critical sector, especially the health and medical sector; astronomical increase in the crime rate and a loss of interest in education. While job seeking youths should continuously acquire skills and explore opportunities within their immediate environment as well as in the global space through the use of digital platforms, government, corporate/ multinational organizations or the organised private sector should generate skills and provide the enabling environment for skills acquisition, through adequate funding and resettlement packages that will provide sustainable economic life for beneficiaries.
While commending the Rivers State Government led by the People First Governor, Sir Siminilayi Fubara for initiating “various training and capacity-building programmes in areas such as ICT and artificial intelligence, oil and gas, maritime, and the blue economy, among others”, it is note-worthy that the labour market is dynamic and shaped by industry-specific demands, technological advancements, management practices and other emerging factors. So another sector the Federal, State and Local Governments should encourage youths to explore and harness the abounding potentials, in my considered view, is Agriculture. Agriculture remains a veritable solution to hunger, inflation, and food Insecurity that ravages the country. No doubt, the Nigeria’s arable landmass is grossly under-utilised and under-exploited.
In recent times, Nigerians have voiced their concerns about the persistent challenges of hunger, inflation, and the general increase in prices of goods and commodities. These issues not only affect the livelihoods of individuals and families but also pose significant threats to food security and economic stability in the country. The United Nations estimated that more than 25 million people in Nigeria could face food insecurity this year—a 47% increase from the 17 million people already at risk of going hungry, mainly due to ongoing insecurity, protracted conflicts, and rising food prices. An estimated two million children under five are likely to be pushed into acute malnutrition. (Reliefweb ,2023). In response, Nigeria declared a state of emergency on food insecurity, recognizing the urgent need to tackle food shortages, stabilize rising prices, and protect farmers facing violence from armed groups. However, without addressing the insecurity challenges, farmers will continue to struggle to feed their families and boost food production.
In addition, parts of northwest and northeast Nigeria have experienced changes in rainfall patterns making less water available for crop production. These climate change events have resulted in droughts and land degradations; presenting challenges for local communities and leading to significant impact on food security. In light of these daunting challenges, it is imperative to address the intricate interplay between insecurity and agricultural productivity. Nigeria can work toward ensuring food security, reducing poverty, and fostering sustainable economic growth in its vital agricultural sector. In this article, I suggest solutions that could enhance agricultural production and ensure that every state scales its agricultural production to a level where it can cater to 60% of the population.
This is feasible and achievable if government at all levels are intentional driving the development of the agricultural sector which was the major economic mainstay of the Country before the crude oil was struck in commercial quantity and consequently became the nation’s monolithic revenue source. Government should revive the moribund Graduate Farmers Scheme and the Rivers State School-to-Land agricultural programmes to operate concurrently with other skills acquisition and development programmes. There should be a consideration for investment in mechanized farming and arable land allocation. State and local governments should play a pivotal role in promoting mechanized farming and providing arable land for farming in communities. Additionally, allocating arable land enables small holder farmers to expand their operations and contribute to food security at the grassroots level.
Nigeria can unlock the potential of its agricultural sector to address the pressing needs of its population and achieve sustainable development. Policymakers and stakeholders must heed Akande’s recommendations and take decisive action to ensure a food-secure future for all Nigerians.
By: Igbiki Benibo
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