INFORMAL SECTOR TAXATION IN DELTA STATE

ICWECD in collaboration with OXFAM NOVIB and External Affairs Ministry of the Netherlands launched a campaign for a fairer,  more efficient system of taxation in the informal sector in Delta State. Mobilizing market women and  men, artisans and other operators in the informal sector, we established Tax  Justice platform that in addition to informal sector operators includes civil society Organisations, professional associations,  Nigeria Labour Congress, government officials and the press with the aim  of raising awareness on taxation among all stakeholders and the general public as well as curbing malpractices associated with taxation in the informal sector. In pursuit of its goals, the Tax Justice platform carried out research on Informal Sector Taxation in Delta State and waged advocacy campaigns to relevant government agencies including the State Ministry of Finance and the State Board of Internal Revenue.

The platform also carried out press campaigns as well as sensitization campaigns directed at informal sector operators in the state, the larger public and other stakeholders.  

Furthermore, the platform set up Tax monitors to monitor the collection of taxes in the Informal sector. As a result of the efforts of the State Tax. justice Platform, the State government has set up the machinery to harmonies and streamline taxes and eradicate multiple taxations as well as address other malpractices in the informal sector. The State government has also started to give its co-operation to Tax Justice Platform to monitor tax collection in the informal sector.

In concrete terms our efforts have resulted in the following:

  • Significant increase in Tax revenue realized from the informal sector.
  • Increased tax awareness among operators in the informal sector and the public at large
  • Reported decrease of multiple taxation and strong-arm tactics used by tax collectors in the informal sector

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