The Badagry Hoteliers Association says multiple taxation, epileptic power supply and the deplorable state of the Lagos-Badagry Expressway are adversely affecting the hospitality industry in the ancient slave town.
Mr Semilu Tajudeen, Chairman of the association, told the News Agency of Nigeria (NAN) in Badagry on Wednesday that hoteliers were operating at a loss due to the challenges.
“In Badagry, we don’t have good roads, power supply is erratic and there are multiple taxation from the federal, state and Local governments.
“On taxation alone, the Federal Government will collect Value Added Tax (VAT), the state will collect Environmental Tax, Safety Commission, Occupancy Tax, Land Use Tax, Income Tax and PAYE).
“The local government will also come with radio and television levies.
“The state government sees Badagry town the same way it sees Lagos Island and Lekki Ajah, whereas the amenities on the Island and Lekki Ajah cannot be compared with the ones in Badagry.
“The taxes they levy hoteliers in Lekki area are the same they levy us here in Badagry. It should not be so.
“How many people are lodging in Badagry hotels? You cannot compare even Agbara and Badagry in terms of lodging.
“Agbara has more than 100 factories, so workers will be lodging in hotels, but there is nothing like that in Badagry. It’s only during festive periods that we always have people coming to lodge,” he said.
Tajudeen said the association at the state level was holding talks with the commissioner for tourism because hoteliers were tired of multiple taxation.
“We are holding talks with the commissioner to help us find ways of putting all these taxes in one form so that it will be paid once in a year.
“Instead of paying for safety commission, occupancy, PAYE, income and others, we want him to put them in one form so that we will pay it in a year.
“Even if we can’t pay it once, it can be spread into two or three times instead of paying in multiple forms.
“The multiple taxation is killing us here,” he said.
The chairman said the deplorable state of Lagos-Badagry Expressway was also affecting their businesses, adding that people were no longer coming down to the town.
Tajudeen urged the Federal Government to increase funding of the Lagos Badagry-Expressway project so that the contract would be completed in two years.
The chairman lamented that hoteliers were spending all their profit on diesel to power their generators due to the epileptic power supply.
He urged the Federal Government to build a power substation on the Badagry Expressway to reduce the burden of power outage in the area.
Tajudeen said he spent more than N2 million on diesel purchase in 2020, adding that the money would have been used to expand the hotel and employ more staff.
The chairman appealed to the government to look into these challenges and find lasting solutions before more people would be disengaged from the hospitality subsector in Badagry. (NAN)
