TAX HAVENS WILL BRING CHAOS TO NIGERIA,AFRICA,WESTERN WORLD.SAYS NLC.

Tax havens 'll bring chaos to Nigeria, Africa, Western World - NLCTax havens 'll bring chaos to Nigeria, Africa, Western World - NLC


 


 BENEDICT ODINAKA writing for ODOGWU MEDIA.


As part of its effort towards its campaign against Illicit Financial Flows (IFF) from Africa to the Western World, the Nigeria Labour Congress (NLC) has said that tax evasion and avoidance would eventually bring chaos and more hardship to Ni­geria, other African countries and to the Western world in the near­est future.
Championing tax justice na­tional campaign in Nigeria, NLC at a one day media awareness and sensitisation organised for La­bour Reporters in Abuja, added that the consequences of the policies of granting tax havens to foreign investors in Nigeria and other African countries would re­sult to among other things, a wild spread outbreak of immigration crisis to the Western world.
Demanding that Western and African governments should work together to curb illicit fi­nancial flows from Africa to the Western world for the common of everyone, NLC said that Ni­geria government in particular should “aggressively pursue the creation and sustainability of a progressive tax base as a sure and steady way of domestic resources mobilisation.”
Explaining that the action if pursued would pave way for “mass creation of jobs that will provide the opportunity for the expansion of the country’s tax base”, NLC further said “By this, our government can set the agen­da for improving public services delivery and sustainable develop­ment. Progressive tax justice poli­cies mean African countries can be financially self-sufficient and free from aid dependency.”
Re-emphasising the findings of African Union High Level Panel on Illicit Financial Flows, headed by former South African President Thabo Mbeki, that over $60billion is lost every year, NLC said that it has been established that as much as two-third of the said amount is lost due to manip­ulation of commercial transac­tions rather than criminal activity and corruption.
Furthermore, the Labour union said that tax injustice is simply perpetuated through tax eva­sion and tax avoidance (i.c us­ing tax havens to shelter profits that would otherwise be taxed by African countries) and that it is costing the continent up to $39 billion annually.
Calling Nigeria and other Af­rican governments to as a mat­ter conscious effort, “commit to genuine and effective implemen­tation of the recommendations of the AU report on illicit finan­cial flows”, “Nigeria and African governments must ensure that companies doing business pay their fair share of tax on the eco­nomic activities that takes place within our jurisdiction. Whether companies are extracting miner­als, setting up factories, or selling goods or services, they should pay tax. This also means address­ing race-to-the-bottom tax incen­tives and tax competition policies on a regional basis.
“We urge governments and leaders to strictly limit the use of discretionary incentives and provide transparent explanations and parliamentary reviews of incentives when they are used. Importantly, Nigeria government must resist the temptations and advices to undertake tax policies that will pass tax payment bur­dens on the poor.” NLC said
TAX HAVENS WILL BRING CHAOS TO NIGERIA,AFRICA,WESTERN WORLD.SAYS NLC. TAX HAVENS WILL BRING CHAOS TO NIGERIA,AFRICA,WESTERN WORLD.SAYS NLC. Reviewed by benedict odinaka on Friday, September 29, 2017 Rating: 5

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