LG Has No Power To Tax logistics, Courier Services – Lagos Assembly

The Lagos House of Assembly on Monday ordered Local Government councils and Local Council Development Areas (LCDAs) in the state to desist from extorting and harrassing operators of courier and logistics services in the state.

This was as the Speaker of the House, Rt. Hon. (Dr) Mudashiru Obasa, emphasised that local government councils and LCDAs so not have the power to tax logistics and courier services. He said the power of the councils was limited to registration of bicycles as dictated by the constitution of the country.

Obasa said it was lamentable, especially as such acts affect ease of doing business “and it is very important that we do something about it.

“We have to make them understand that going out to disturb well-planned and organised businesses that stand to create employment for our youth especially with the rate at which students graduate with nothing much to do is not good at all.

“The services of courier services reduce poverty in the state and how much do they even charge?

“Local governments have nothing to do with the registration of motorcycles and tricycles. Operators of courier and logistics services should not be made to pay in all the local governments considering what they charge for their services.”

The House therefore resolved that local government councils should be aware of their limitations in this regard as well as stop using alleged touts and street urchins to collect revenues in other areas where they are legally empowered.