Introduction Of Annual Renewal Of Proof Of Ownership Certificate (POC) Of Vehicles: An Oppressive Policy And Double Taxation
Introduction Of Annual Renewal Of Proof Of Ownership Certificate (POC) Of Vehicles: An Oppressive Policy And Double Taxation

By Francis Ogunbowale

The Perm Sec, Lagos State Ministry of Transportation, Engr Abdulhafiz Toriola was reported to have disclosed on Tuesday 27th of June 2023, at

a Press Conference of the Joint Tax Board which comprised of the Board of Internal Revenue of all the 36 States and the Federal Capital Territory (FCT), that the Lagos State Government has started the implementation of payment of N1,000 annual Proof of Ownership Certificate (POC) verification of vehicles.

This disclosure was not only strange, it was a shock and came as a bitter pill to swallow on the eve of Salah day celebration. One, what obtains before now is that where the information of a vehicle did not change, payment for POC verification annually will be grossly unnecessary and exploitative. Two, it will amount to double taxation in the phase of payment for Vehicle License that is renewable every year. Three, The National Road Traffic Regulation No. 101, Vol. 99, 2012 (as amended) under which the Joint Tax Board resolved to introduce payment of annual POC renewal did not provide for any payment or verification of POC every year.

Unfortunately, the reasons given by government to justify this reaping off of citizens annually did not add up. One, that the policy will enhance transparency, security and accountability within the transportation network; Two, that it will streamline and enhance the process of vehicle ownership verification; Three, that it will serve as official documentation for the Legal Owners of vehicles; Four, that it will ameliorate challenges encountered in ensuring safety and security of lives and property and Five, that it will provide immediate information about vehicle registration details including the names and addresses of vehicle owners.

To be candid, these reasons are very flimsy, inexcusable, very sterile, deceitful and of no benefit to vehicle owners because there is adequate provision in place to ensure all of these before the bombshell. The truth is that one off payment of POC with data carefully stored in computer hardware of the Ministry of Transport platform is capable of promoting transparency, security and accountability desired within the transportation network. Not only this, rather than overburden the vehicle owners with additional annual payment of N1,000 across board,

government can enhance the already existing vehicle ownership verification strategy by deploying a very simple technology and hardware, which Transport Officers can use to verify through mobile gadgets, as done in other climes. There is nothing wrong in the official documentation of a legal owner of a vehicle through the issuance of custom papers and Vehicle License that usually contain particulars of both the owner and the vehicle.

The issuance of POC should not be an annual event and payment, except government deliberately wants to increase the internally generated revenue at all costs, not minding the needless pains to the citizens. The citizens have suffered enough since the inauguration of this new government. Fuel subsidy has been removed without any palliative or review of take home salary up till today.

If government is truly poised to ensuring safety of property and security of lives, it should focus more on the viabilty of the mandatory N5,000 minimum insurance payments and the repair of dilapidated roads across the country. The economic loss resulting from these bad roads and the attendant dailly criminal activities of banditry, kidnapping and armed robbery, are very collosus and avoidable.

This new government should not give any impression that it has come to deceive and punish the masses. The pain is becoming too much. Food is gradually disappearing from peoples homes as a result of high and unaffordable transportation costs. Citizens who can no longer get to work have either been sacked or have voluntarily disengaged themselves. Thieves no longer come in the night but during the day to the house or at gridlock where they forcefully ask to be ‘appreciated’ failing which the victim is stripped of whatever valuable is on him or cause physical bodily injury to him or damage any item in his possession.

It is a bad omen for this new government to start having trust issues with the citizens at this crucial beginning. It will be recalled that a government that promised succour to citizens during the electioneering campaign suddenly turned round and dropped another bombshell that jolted the masses, through the electricity Distribution Companies (DISCO) in the first week of June that from 1st of July 2023, the current cost of N35 per 1 kWh unit of electricity will rise to N100 and that those without meters should expect astronomical increase on their estimated bills and made citizens to deploy their life savings for panic buying of electricity units, only for the fearless and inconsiderate DISCO to eat back its words few days to 1st of July and declared the bad news as fake in that the Nigerian Electricity Regulatory Commission (NERC) has not approved any increase in the electricity tarrrif. DISCOs obviously scammed the innocent citizens and clandestinely extorted us to raise funds for their business without borrowing from the bank.

A vehicle owner in Nigeria currently pays about N70,000 to register a new vehicle at the Central Motor Registry (CMR) and obtain number plates, insurance certificate, vehicle licence, roadworthiness and the rest. He renews the Vehicle Licence annually with not less than N5,000 depending on the type of vehicle, pays the mandatory minimum of N15,000 for insurance renewal certificate, pays money to conduct tests and renew roadworthy certificate and pays for radio and television levy and other sort of craftily imposed fees. The citizens should no longer be overstretched with additional imposition of

annual payment of POC renewal.

Francis Ogunbowale

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