General

Abuja Residents’ Tax Evasion Poses Major Challenge to FCT Minister Wike

Abuja: The Minister of the Federal Capital Territory (FCT), Mr. Nyesom Wike, has expressed that his most significant challenge as the minister is the refusal of Abuja residents to pay their taxes. Wike made this statement following an inspection of ongoing projects in the city, which are being prepared for inauguration to commemorate President Bola Tinubu’s second year in office.

According to News Agency of Nigeria, the projects inspected by the minister include the Abuja International Conference Centre (AICC) and the extension of Phase I of the Obafemi Awolowo Way from Life Camp Junction to Ring Road III. Additionally, the completed interchange at NICON Junction, the road network leading to Judges’ Quarters, and the road leading to Wole Soyinka Way were also part of the inspection.

Wike emphasized that while residents demand facilities and infrastructure, there is little concern about how the government generates the necessary funds. He highlighted that the FCT relies exclusively on taxes for revenue, unlike oil-producing states. The minister noted that many elites own properties abroad and are aware of the consequences of tax evasion, yet they neglect their tax obligations in Nigeria, assuming there would be no repercussions.

Wike pointed out that property owners in Abuja have not paid their ground rent for over 30 years, with the rates remaining unchanged. The FCT Administration is now contemplating an increase in these rates. He mentioned that despite the two-week grace period granted by President Tinubu to ground rent defaulters, the administration remains committed to enforcing compliance.

The minister further disclosed that he had signed over 1,500 Certificates of Occupancy before traveling last week, criticizing the tendency of individuals to obtain these certificates without paying the mandatory ground rent. Wike assured that the administration is determined to overcome this significant challenge and will not succumb to blackmail.

Commenting on the inspected projects, Wike praised the quality of work at the rehabilitated AICC and commended the contractor, Julius Berger, for delivering on its promise. He also expressed satisfaction with the progress of the Life Camp Junction Road to Ring Road III project, which is nearing completion.

Furthermore, Wike lauded the contractor CGC for the exemplary work completed at the NICON Interchange and the road network leading to the judge’s quarters and Wole Soyinka Way. He believes that the residents will be pleased with the infrastructure provided by President Tinubu.

The News Agency of Nigeria reports that the FCTA has begun taking over 4,794 properties in the territory due to unpaid ground rent, which amounts to over N6 billion. President Tinubu has, however, extended a 14-day grace period for defaulters to settle their outstanding dues and penalties.