Lagos State Government Dissociates Itself From 5% Levy On Digital Platforms, Suspends Director
By Emmanuel Awosika
The Lagos State Government has dissociated itself from the announcement of a 5 percent on levy on digital platforms operating in the state.
The announcement, made by Executive Secretary of the Lagos Film and Video Censors Board, Bamidele Balogun, required digital platforms including Netflix and IrokoTV to pay a 5 percent levy on all their content.
However, the state government said Mr. Balogun acted without authorization and has been placed on suspension, pending an administrative inquiry.
The Lagos State Commissioner for Information and Strategy, Gbenga Omotosho, released a statement on Friday titled, ‘Lagos State Has No 5% Levy on Audio and Visual Contents of Physical and Digital Platforms.’
According to the statement, the state government had not authorized the imposition of a levy on audio and visual content of physical and digital platforms in Lagos.
It further stated that the Sanwo-Olu government was well aware of of the negative impact of the COVID-19 pandemic on the industry, and was not looking to further compound problems.
Earlier this year, the Executive Secretary for the LSFVCB had ordered all physical and digital platforms to pay a 5 percent levy on “all audio and visual content produced, sold, distributed, marketed, exhibited, streamed, downloaded and shared across all physical and digital platform situate, lying and being within Lagos State.”
Several industry stakeholders had kicked against the levy. The National Film and Video Censors Board had decried it as bad for the sector’s growth.
Similarly, the Performing Musicians Association of Nigeria had criticized the law, saying it would challenge it in court.
