In a bid to widen its net on taxes and also generate more money, the Lagos State Government on Tuesday announced that it was mandatory for housemaids, gatemen, private guards and all domestic workers in the state to pay tax henceforth, citing the country’s gnawing fiscal crisis as the rationale for the decision.
The announcement was made by the Chairman of the Lagos State Internal Revenue Service (LIRS), Mr Olufolarin Ogunsanwo, at a news conference in Alausa, Ikeja.
He said the new tax regime was in line with the current administration’s inclusion of every resident to the growth of the state.
Ogunsanwo said the agency had commenced the process of overhauling the informal sector with a view to ensuring voluntary compliance by all tax payers.
He therefore noted that the state governor, Mr. Akinwunmi Ambode, had approved the upgrading of the informal sector operation to a full directorate, which he said identified three categories of tax payers in the sector, and they include market men/women, artisans, micro, small and medium-scale enterprises and domestic staff.
The Chairman of LIRS stated that these categories of people will be remitting one per cent of what they earned to government’s coffers.