Private school owners in Edo State are raising the alarm over what they describe as an outrageous increase in personal income taxes. According to the Edo chapter of the National Association of Proprietors of Private Schools (NAPPS), recent tax assessments distributed to school owners show increments of over 300%, a move they fear could cripple many institutions and place an extra burden on parents.
Speaking at a press briefing in Benin, the state chairman of NAPPS, Lemmy Pare Russel, expressed deep concern about the impact of the sudden tax hike. He warned that many schools would be forced to increase tuition fees to stay afloat, which would, in turn, affect access to education for thousands of families across the state.
Russell pointed out that the issue isn’t about tax evasion but about fairness. He noted that private schools are not profit-making ventures in the traditional sense but rather social service providers, many of which already operate on tight budgets. The recent assessments, he said, ignore several running costs like utility bills, local government levies, and renewal fees, placing an even heavier load on schools.
Some school owners who previously paid N400,000 in taxes now face bills exceeding N6 million—a shocking 1,500% increase. In areas like Ikpoba Okha and Oredo Local Government, some proprietors saw their assessments rise by more than N7 million. “This is not sustainable,” Russell said, warning that the situation could lead to mass school closures across all three senatorial districts in the state.
He appealed directly to Governor Monday Okpebholo, urging him to reverse the hike and restore a tax rate of between 5% and 10%, which was the norm before his administration came into office.
In interviews with several school proprietors, the frustration was evident. Peter Odion Okungbowa, Dr. Mathew Nosa Omoragbon, and Ojeh-Oziegbe Azuka all called on the governor to step in and avert what they described as a looming crisis in the education sector.
Responding to the concerns, the Executive Chairman of the Edo State Internal Revenue Service (EIRS), Oladele Bankole-Balogun, denied any arbitrary tax hike. He clarified that the agency lacks the authority to unilaterally raise taxes, saying such actions must pass through proper legislative processes.
“The Revenue Service cannot unilaterally increase taxes for private schools. That claim is false,” he said. “Tax laws are determined by statute, meaning we cannot wake up one day and decide to impose new taxes. Every tax is itemised by law.”
He suggested that the outcry may be the result of stricter enforcement efforts, especially among individuals and institutions that had previously underreported earnings or avoided taxes altogether. According to him, only the State House of Assembly, acting on recommendations from the Executive Governor, can legally adjust tax rates.
Despite the controversy, Mr. Balogun encouraged residents to view taxation as a civic responsibility, emphasizing that tax revenue funds critical infrastructure, including roads, schools, hospitals, and security.
As the debate continues, school owners across the state are hopeful that their appeal will lead to a review of the tax policy, before more institutions are forced to shut their doors.
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