NIGERIAN MOBILE OPERATORS PAY 35% TAX - REPORT

Nigerian mobile operators  are said to be paying about 35 per cent tax, which is double the global average according to the findings of an independent report by a research firm, Analysys Mason, on behalf of the GSM Association (GSMA) on the Nigerian telecommunications market.

The report said that the level of taxation in Nigeria  was  affecting mobile operators from providing high quality services as the three levels of governments namely; the federal, state and local governments duplicate the taxes charged operators thereby leaving not enough funds to finance expansion of networks.

Presently, all the Nigerian telecommunications organisations have about 20,000 base stations covering the country whereas a city like London has 50,000 base stations and the surrounding part of England are serviced by an additional 20,000 base stations, bringing the total to 70,000 for England.

Ross Bateson, Special Government Advisor, GSMA, said that if the taxes were reduced, it would free up funds for mobile operators to invest in, expand mobile broadband to the rural areas and give Nigerians access to high speed internet.

Chairman of the Association of Licenced Telecom Operators of Nigeria (ALTON), Mr. Gbenga Adebayo, said that most state governments' agencies  treat the telecom industry as an extractive industry, whereas it was not.