Hoteliers, Imo Govt, mull modalities to reduce taxation

The Imo Hoteliers Association and the state government have brainstormed on modalities to reduce and regulate multiple taxation of hotels in the state.

Chairman of the Association, Mr Chima Chukwunyere, made the disclosure while addressing newsmen shortly after a meeting with the Acting Chairman of the Imo State Internal Revenue Service (IRS), Mr Justice Okoye, on Monday.

Chukwunyere said that the step became necessary following the closure and relocation of hotels in the state as a result of multiple taxation.

He said that some hotel owners have placed their facilities on lease with others shutting down in the guise of renovation.

“Many hotels are already on the run, some have been sold and their owners have gone to establish in other places such as Asaba in Delta “, he said.

He urged Okoye to effect a downward review of the current charge for the harmonized demand notice, for easy compliance by hotels.

“Our neighbouring Abia state currently collects N105,000 while Delta collects between N120,000 and N150,000 as against N700,000 and N800,000 charged by the Imo government as demand notice “, he said.

Chukwunyere however assured Okoye of the association’s commitment to a successful, business friendly environment and promised to continue nature that hotels that had yet to pay their 2021 – 2022 harmonised demand notices would do so.

In his response, Okoye said the association’s demands were not abnormal and promised to channel them to the appropriate authorities.

He assured the association of government’s support and commitment to the development of the state’s tourism industry for economic growth.

A member of the association, Prof. Betram Ozumba harped on the need for a healthy partnership between the two parties that would offer a healthy environment for tourism to thrive in the state.