Described as punitive, the Edo State Coalition of Associations of Private Schools has urged the government to undo the increase in personal income tax, Pay As You Earn, and other taxes.
During their nonviolent demonstration in Benin on Friday, the proprietors of private schools claimed that the government had raised taxes by 200–400%.
The News Agency of Nigeria said that the demonstrators, who called the tax hike an alarming increase, assembled before the Ministry of Education to voice their complaints.
Dr. Ohis-Olakhe Emmanuel, the coalition’s chairman and protest leader, stated that the organization had tried every possible way to communicate before turning to the demonstration.
“Private schools not only complement government efforts in the education sector but are also major employers of labour. With this increase, over 300,000 teachers are at risk of losing their jobs—not to mention the many vendors and service providers who rely on schools for their livelihoods,” he said.
Even though the majority of schools were charging significantly less, Emmanuel criticized the tax calculation process, claiming it was based on an estimate of N30,000 to N35,000 per pupil. He emphasized that, after accounting for operating costs, taxes ought to be determined by profit rather than gross income.
Additionally, Dr. Austin Igbasan, the coalition’s secretary, issued a warning that the tax hike will have unintended consequences, such as closing schools, causing job losses, and increasing the number of children who are not in school, especially for low-income families.
Oladele Ogundele, the secretary of the Association of Formidable Education Development, echoed these sentiments when he asked for a uniform tax system for school owners.
Personal income tax, PAYE for employees, renewal fees, environmental and health certifications, signage costs, and tenement rates are just a few of the taxes he said that are paid to schools.
“Education is a social service and should be supported, not taxed into extinction. The Nigerian Constitution and the Universal Basic Education Act emphasise free and compulsory education. This level of taxation contradicts that principle,” Ogundele said.
Paddy Iyamu, the commissioner of education for Edo State, responded by promising the demonstrators that the government will examine their requests. He pledged to meet with the Edo Internal Revenue Service to discuss their complaints.
“Taxes are necessary for the government to meet its obligations, but we will ensure schools are not overburdened,” Iyamu said.