By Timileyin Omilana
05 August 2020 | 11:37 am
Lagos State Government has cancelled the 2018 land use charge and reverted to pre-2018 land use charges.
The state commissioner for finance Rabiu Olowo announced this at a press briefing.
“In 2018, there was an increase in Land Use Charge rate as well as the method of valuation of properties, this shock had a sporadic increase in Land Use Charge payable by property owners,” he said.
“In view of the aforementioned, the current administration decided to review the Land Use Charge law by reversing the rate of Land Use Charge to pre-2018 while upholding the 2018 method of valuation,” the commissioner said.
The government also waived penalties for land use charge for 2017, 2018 and 2019, which according to the Commissioner translates to a loss of revenue amounting to N5.6bn.
However, the government said the reintroduction of the 15 per cent early payment discount, an additional COVID-19 incentive of 10 per cent will be granted on the total amount payable.
“This makes the total discount for early payment 25 per cent if payment is made before the due date,” he said.
“The penalty for obstruction of officials and damage to property identification plague has been reduced from N250,000 to N100,000.
“The penalty for inciting a person to refuse to pay LUC has been reduced from N250,000 to N100,000.
“The 2020 LUC Law introduced a 10 per cent and 20 per cent special relief for Vacant properties and Open empty land, respectively.”
The Lagos State Land Use Charge (LUC) is a consolidation of all property and land based rates and charges payable under Lands Rates, Neighbourhood Improvement Charge and Tenement Rates Laws of Lagos State.
It was designed to help the government generate additional revenue needed to develop the state in the light of increasing demand for provision of urban and rural infrastructure and other expenditure.
Curled from The Guardian