Wednesday, July 31, 2013

Benin airport was shut down for non-payment of taxes



The Edo State Board of Internal Revenue (BIR) at the early hours of yesterday locked the administrative offices of the Benin airport for claim that the airport has failed to pay the PAYE (Pay As You Earn) tax which were removed from the salaries of workers of the airport.


The Board of Internal Revenue claimed it had a court order before it carried out its actions. However things took another surprising turn as the Manager of the Benin airport, Mr Sunday Ayodele, allegedly locked the entrance and exit to the airport.
Benin airport shutdown for non-payment of taxes


An Arik Air plane had already landed that morning before the incident. As a result of locking the gates of the airport, passengers were unable to leave the airport and those leaving for Benin to Lagos and Abuja were also unable to enter into the airport.

Reacting to the incident, Chairman of Edo Board of Internal Revenue (EBIR), Chief Oseni Elamah claimed that BIR only shut down the airport’s administrative offices and not the gates of the airport. He claimed that the airport management took that action to blackmail BIR.

“It was a deliberate attempt to blackmail us. It was their office we sealed, and not the gates,” Elamah said. The tax owed by the airport is claimed to be about 15 million naira

FAAN’s spokesman Yakubu Dati also confirmed the development and claimed that it was an invasion of the Benin airport. He also claimed that avenues of communication should have been exploited before BIR took the laws into their hands.

“We learnt this morning that some people belonging to the Edo State Inland Revenue Service early this morning shut the Benin Airport over what our staff described as non-payment of taxes.

“This is coming to us as rude shock, because they could have explored all lines of dialogue instead of just taking the laws into their hands.” he said.

“To close the airport is not good for the security and safety of the airport environment. We are appealing to passengers to bear with the situation as we are making efforts to resolve the issue. But we are disturbed that such a development could have been resolved without taking laws into their own hands.”

“We are worried that despite the enabling law setting up FAAN, which exempts it from paying taxes and tenement rates, the Edo State Inland Revenue Service went ahead to close the airport.

“We enjoy cordial relationship with the state government, and we are saddened that this is happening. The matter will soon be resolved.” he said.

Edo State governor Adams Oshiomole reacting to the situation, arrest later made of the Chairman of the EBIR, and the thuggery displayed by the manager of the Benin airport said:

“The Edo State government did not seal up the airport, the revenue board staff went there peacefully to do their job. The authority of the revenue board went to serve an ‘order’ on the administrative office of FAAN, it was done in a way to ensure that it does not affect the operations of the airport knowing that the airport is a public place and as much as we want to collect taxes due to government, we don’t want to inflict pain on travellers who are not a party to the issue of tax evasion.”

“However, when the Manager’s office was sealed up, he in turn in order to attract national attention or dramatize the issue, decided on his own to shut down the airport. As you know, his office is several hundred meters outside the airport and the sealing up of his office will not in any way affect the airport. So just to put it on record, the Edo State government did not shut down the airport.” he said.

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