The managing director of Oluaye Properties, Olaniyi Livingstone Iyanda, has called on the federal government to initiate policies that would encourage the taxation of undeveloped bare site in order to discourage land speculation and encourage real estate investment.
He disclosed this in Abuja during the 2015 Mandatory Continuing Professional Development Seminar organised by FCT Chapter of Nigeria Institution of Estate Surveyors and Valuers (NIESV) with the approval of Estate Surveyors and Valuers Registration Board of Nigeria (ESVARBON).
Speaking on the theme: “Challenges of Real Estate Taxation: Fixing the Missing Links or Loophole,” Iyanda said there was the need to revisit all extant legislations and statutes on property taxation adding that a reform agenda should be put in place to make the laws more efficient so as to enhance property taxation process.
According to him, the disposal of property on which tax was overdue and unpaid was part of a section of the proposed Abuja Proposed Tax law that are offensive and may have counter-productive effect on real estate investment and the economy of FCT.
He maintained that the 1999 constitution as amended was silent on the collection of tenement rates from privately owned houses saying that good taxation regime ensured growth, progress and prosperity of the nation.READ ALSO – No Going Back On Land Use Charge Law – Oshiomhole
While noting that revenue collection should be digitalised to reduce diversion of proceeds, he stressed that letting agents should be compelled by tenancy agreements to retain property tax due and remit it accordingly.
He affirmed that property taxation process remained one of the surest sources of raising revenue for the running of government activities across the world insisting that huge opportunities were open through property taxation that would guarantee investments for good governance.
Iyanda added, “ Property taxation is particularly complex all over the world and valuers must arise as land resource professionals to guide the community rightly.