Lagos State Governor, Mr. Babatunde Raji Fashola has reportedly put a smile on the faces of lagosians.
The governor, who is a Senior Advocate of Nigeria (SAN), on Monday, signed into law an Executive Bill reducing the cost of land transactions in the State, PMnews reports.
He explained that the move was to make sure that land transactions
are carried out with minimal difficulty, especially with difficulties
relating to payment of taxes, rates and legitimate levies
charged under the enabling law.
The Executive Order, (No. EO/BRF/001 of 2015), provides, among others, that “unless otherwise indicated, the valuation of landed property for the determination of tax and other charges payable shall be by reference to the Statement of Fair market Value produced by relevant professionals, adopted by the State Government and published from time to time in the Official Government Gazette.”
It was gathered that the Order, which takes immediate effect, reduces Consent Fees from 6 percent to 1.5 percent while Capital Gains tax, which was previously 2 percent, is reduced to 0.5 percent.
Meanwhile, the cost of Stamp Duty was also reduced from 2 percent to 0.5 percent while Registration Fees was reportedly reduced from 3 percent to 0.5 percent.
It was further learnt that Fashola, before signing the Order, remarked that it is intended to improve the internal management of the State Government and not to create any rights or benefits, substantive or perpetual, enforceable at law or in equity by a party against Lagos State, its departments, agencies or entities, its officials, employees or experts or any other person.
“We expect also that if we as government play a role, by reducing
a cost of setting up business, we have made a huge impact enabling
private enterprise to thrive and in that way hopefully provide
employment opportunities to businesses that will be form as the results
of this policy intervention,” he said.
The Governor, however, reiterated that the signing of the Executive Order was in line with the pledge he made to Lagosians when he presented the 2015 budget that he would do so based on the decisions of Council.
He expressed optimism that the Order, would send the strongest possible signals to any of the investors about where to put their money.
“So, consistently in Lagos the cost of land transactions have come down from 30% or thereabout in Pre- 1999, down to 13% around 2005, and finally now to cumulative total of 3% and I hope that the investing public will respond to this favourably especially local investors because for me local investors are the most important investors,” he said.
While directing the Land Bureau to work closely with the Office of the Secretary to the State Government to gazette the Executive Order, Fashola said such would also hasten the gazette of rates compiled by the professionals and Estate Valuers, who in the meetings with Government said such rates were agreeable.
“It is also important to bring certainty into this transactions by making the public aware of what their expectations and obligations are”, the Governor said adding that the Order would also reduce ambiguity and discretion in the hands of assessing officials “so that people at the beginning of the transactions know what the end to end cost of that transaction is even before they start to make a commitment, so in this way we hope that we would have contributed to the need to help in diversifying the economy and providing the opportunities,” Fashola said.
The Attorney General and Commissioner for Justice, Mr. Ade Ipaye, while introducing the Executive Order earlier on, noted that since 2005 Government has fixed certain valuations which it has been using as standard across the State adding that for 10 years Government has kept those valuation standards constant.
“Now, the State Executive Council at the instant has approved the new policy where the current fair market value will be used as basis for not just valuation but also the taxes and charges that we apply,” he said.
Dignitaries that graced the occasion include the Deputy Governor, Hon. (Mrs.) Adejoke Orelope Adefulire, Chief of Staff, Mr. Lanre Babalola, Secretary to the State Government, Dr. (Mrs.) Oluranti Adebule, Commissioner for Education, Mrs. Olayinka Oladunjoye and her Budget and Economic Planning counterpart, Mr. Ben Akabueze, Special Adviser on Public Health, Dr. (Mrs.) Yewande Adeshina as well as Permanent Secretary, Land Bureau, Mr. Hakeem Muri-Okunola.
Meanwhile, the Lagos State All Progressives Congress governorship candidate, Akinwunmi Ambode, has also unveiled his manifesto to lagosians, telling them what to expect if voted governor.
The governor, who is a Senior Advocate of Nigeria (SAN), on Monday, signed into law an Executive Bill reducing the cost of land transactions in the State, PMnews reports.
Governor Babatunde Fashola
charged under the enabling law.
The Executive Order, (No. EO/BRF/001 of 2015), provides, among others, that “unless otherwise indicated, the valuation of landed property for the determination of tax and other charges payable shall be by reference to the Statement of Fair market Value produced by relevant professionals, adopted by the State Government and published from time to time in the Official Government Gazette.”
It was gathered that the Order, which takes immediate effect, reduces Consent Fees from 6 percent to 1.5 percent while Capital Gains tax, which was previously 2 percent, is reduced to 0.5 percent.
Meanwhile, the cost of Stamp Duty was also reduced from 2 percent to 0.5 percent while Registration Fees was reportedly reduced from 3 percent to 0.5 percent.
It was further learnt that Fashola, before signing the Order, remarked that it is intended to improve the internal management of the State Government and not to create any rights or benefits, substantive or perpetual, enforceable at law or in equity by a party against Lagos State, its departments, agencies or entities, its officials, employees or experts or any other person.
The Governor, however, reiterated that the signing of the Executive Order was in line with the pledge he made to Lagosians when he presented the 2015 budget that he would do so based on the decisions of Council.
He expressed optimism that the Order, would send the strongest possible signals to any of the investors about where to put their money.
“So, consistently in Lagos the cost of land transactions have come down from 30% or thereabout in Pre- 1999, down to 13% around 2005, and finally now to cumulative total of 3% and I hope that the investing public will respond to this favourably especially local investors because for me local investors are the most important investors,” he said.
While directing the Land Bureau to work closely with the Office of the Secretary to the State Government to gazette the Executive Order, Fashola said such would also hasten the gazette of rates compiled by the professionals and Estate Valuers, who in the meetings with Government said such rates were agreeable.
“It is also important to bring certainty into this transactions by making the public aware of what their expectations and obligations are”, the Governor said adding that the Order would also reduce ambiguity and discretion in the hands of assessing officials “so that people at the beginning of the transactions know what the end to end cost of that transaction is even before they start to make a commitment, so in this way we hope that we would have contributed to the need to help in diversifying the economy and providing the opportunities,” Fashola said.
The Attorney General and Commissioner for Justice, Mr. Ade Ipaye, while introducing the Executive Order earlier on, noted that since 2005 Government has fixed certain valuations which it has been using as standard across the State adding that for 10 years Government has kept those valuation standards constant.
“Now, the State Executive Council at the instant has approved the new policy where the current fair market value will be used as basis for not just valuation but also the taxes and charges that we apply,” he said.
Dignitaries that graced the occasion include the Deputy Governor, Hon. (Mrs.) Adejoke Orelope Adefulire, Chief of Staff, Mr. Lanre Babalola, Secretary to the State Government, Dr. (Mrs.) Oluranti Adebule, Commissioner for Education, Mrs. Olayinka Oladunjoye and her Budget and Economic Planning counterpart, Mr. Ben Akabueze, Special Adviser on Public Health, Dr. (Mrs.) Yewande Adeshina as well as Permanent Secretary, Land Bureau, Mr. Hakeem Muri-Okunola.
Meanwhile, the Lagos State All Progressives Congress governorship candidate, Akinwunmi Ambode, has also unveiled his manifesto to lagosians, telling them what to expect if voted governor.
It would be recalled that Chief Makanjuola Ogundipe, the Chairman
of the Peoples Democratic Party (PDP) in the South-West, recently took a
swipe at Governor Fashola, saying; ‘he has not done so well to merit the praise he receives from residents of the state.
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