The new taxes introduced by the Lagos state government for ride-hailing services such as Bolt, Uber and taxis operating in the state will take effect on August 20, thus reducing spending income further.
According to the new regulation, companies with less than 1,000 drivers are to pay a N10million licence fee, while those with more than 1,000 drivers are to pay N25 million.
Annual renewal for those with more than 1,000 drivers have been fixed for N10 Million, and N5million for those with less.
Also, taxi operators with 50 cabs or less are to pay N5million for licence, while those more than 50 cabs are to pay N10million. Renewals have been fixed at N1.5million and 3 Million respectively.
All renewals must be processed three months before the expiration of the existing licence.
All e-hailing companies’ services must pay to Lagos, 10 percent service tax on each transaction paid by passengers.
They have been ordered to hold quarterly meetings with the Ministry of Transportation for operational updates and feedback. They must give the supervising ministry access to their database.
