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Business News of Sunday, 25 July 2021

Source: guardian.ng

Yobe to generate N1b IGR from livestock tax

Livestock tax collection conditions announced in Yobe Livestock tax collection conditions announced in Yobe

The Kulen Allah Cattle Rearers’ Association of Nigeria (KACRAN) has set conditions for the collection of livestock tax in Yobe State.

The administration of taxes, according to the State Government, will improve the security situation and Internally Generated Revenue (IGR).
While announcing tax conditions at the weekend in Damaturu, the President of KACRAN, Khalil Bello said: “The State Government should reciprocate by providing us grazing reserves with the restoration of all cattle routes,” lamenting that the routes across the state have been taken over by farmers in the 17 Councils.

He noted that the herders are in full support of taxing their livestock, provided basic needs of grazing and water points for cattle and other livestock are sustained.

He said the Federal Government had been providing loans and other farm inputs of fertilisers and pesticides to farmers, while herders are on their own to sustain their means of livelihoods.

He explained that herders in the state are still paying education levy, though their children in various communities are not provided education.
The livestock tax followed Governor Mai Mala Buni’s Executive Order No 3, last week in Damaturu, the state capital. “The imposition of taxes could mitigate conflicts between herders and farmers while tending their cattle and farmlands in communities,” said Buni.

The Secretary to the State Government, Mallam Baba Wali, noted that the tax could also reduce cattle rustling and communal clashes. The State’s Pilot Livestock project manager, Dr. Idrissa Madaki, disclosed that there is 8.66 million livestock in the state.

He said the livestock population comprises cattle, camels, donkeys, horses, goats, and sheep across the state and border areas with the Niger Republic.
He said when N200 tax is imposed on a cow or camel, it will generate an IGR of N1.132b to the state government. He added that an N100 tax rate on the 8.66 million livestock in the state would rake in N566m yearly revenues.   

He explained that with the implementation of Buni’s order, a high-powered committee, led by the Commissioner of Agriculture, Hajiya Mairo Amshi has been set up.

Mairo said representatives of Government Ministries, Departments, and Agencies (MDAs) are also on the committee to work out tax rates on livestock.
“Harnessing agriculture, livestock, and crop production have contributed to the state’s development. Peaceful coexistence is very important, as the population is increasing, while the land is stagnant,” she said.

She warned that as land under cultivation and livestock population increases, conflicts between herders and farmers will continue to rise with the loss of more lives and property.

“Once we have peace in the state, we will now reintroduce and adopt the modalities of imposing livestock taxes effectively to raise revenues,” she said.