Governor Peter Mbah of Enugu State has announced plans to constitute a committee to review allegations of tax increases in the state.
The governor’s Senior Special Assistant on External Relations, Mr. Uche Anichukwu, disclosed this in a statement issued in Enugu on Friday.
Mbah clarified that his administration had not increased tax rates but only expanded the tax net through reforms aimed at plugging revenue leakages and ensuring transparency in collections.
According to him, the significant rise in the state’s internally generated revenue (IGR) was the result of deploying electronic payment systems and technology-driven processes.
He blamed individuals who benefitted from the old manual collection system for sponsoring false narratives about tax hikes.
The governor noted that Enugu State recorded an impressive N180.05 billion in IGR in 2024, up from N37 billion in 2023, ranking fifth among the 36 states and the FCT in the latest National Bureau of Statistics (NBS) report.
“Lagos State ranked first with N1.26 trillion, followed by Rivers, FCT, and Ogun with N317.3 billion, N282.3 billion, and N194.9 billion, respectively,” he said.
Describing the public outcry over taxation as misplaced, Mbah said the planned committee would comprise representatives from market unions, civil society organisations, non-governmental organisations, and other relevant stakeholders to conduct a holistic review of the state’s tax system.
“My belief is that, based on what we have done, we have not increased the tax rate. In fact, even under the laws, we are not able to do that. The issue of personal or company income tax is legislated by the National Assembly,” he explained.
Mbah stressed that the reforms were designed to eliminate corruption in the revenue collection process by ensuring that all payments are made directly into state coffers.
“We displaced some entrenched interests. Payments are now made electronically, ending the era of people going to markets with papers to harass traders, drivers, and Keke operators for cash payments. Once you initiate programmes like this, you are bound to face resistance,” he said.
He added that while the reforms have faced opposition from vested interests, his administration remains committed to transparency, fairness, and accountability in the state’s revenue system.
