Nigerians react as Ondo govt implements entertainment tax

THE introduction of a new entertainment tax by the Ondo State Internal Revenue Service has sparked a debate among Nigerians, with many citizens expressing mixed reactions over the policy that targets social events such as weddings, birthdays, burials, and naming ceremonies.

Under the tariff released by the revenue agency, organisers of private social events in the state will be required to pay between ₦20,000 and ₦25,000, while corporate events will attract a flat fee of ₦50,000. The tax is part of the state government’s broader effort to expand internally generated revenue and regulate the fast-growing events and entertainment industry.

The policy has generated intense discussion across social media platforms, with some Nigerians criticising the move as insensitive to the economic realities facing many households.

Several critics argued that taxing ceremonies such as weddings, burials, and naming ceremonies amounts to placing additional financial pressure on citizens already grappling with high living costs.

One social media user wrote: “You cannot tax poverty.” According to the commenter, social ceremonies represent a key part of Nigeria’s cultural and social life and should not be subjected to additional taxation at a time when many citizens are struggling with rising food prices, unstable incomes, and limited access to public services.

Others expressed concern that the policy may signal a broader trend, where governments increasingly target everyday social activities as potential sources of revenue.

According to the commentator, weddings, graduations, burials, and naming ceremonies are not luxury events but part of the social fabric that binds communities together.

“In a country where millions are struggling with rising food prices, unstable income, and weak public services, taxation should focus on expanding productive economic activity, not squeezing citizens during life’s most important moments,” the individual said.

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The commentator further argued that taxation is most effective in an environment of economic prosperity, warning that excessive taxation during periods of widespread poverty could become a penalty for ordinary living.

“Before taxing celebrations and burials, the real question should be whether the government has created enough wealth for people to celebrate in the first place,” the user added.

Some critics also raised ethical concerns about taxes on funerals and burial ceremonies. One respondent, identified as Nwoga Solomon, argued that such a policy could create unintended incentives.

“For you to earn more from burial tax, you support terrorism so more deaths can occur,” he said, highlighting the emotional reaction the policy has triggered among sections of the public.

However, not all reactions were negative. Some Nigerians defended the introduction of the tax, explaining that entertainment levies are common in many jurisdictions and are intended to capture revenue from leisure-related spending.

Supporters of the policy noted that when people spend money on events, venues, or entertainment services, a small portion of that spending can reasonably be directed toward government revenue to support public infrastructure and social services.

“I understand this is a controversial conversation—from confusion over who should pay, to allegations of multiple taxation, enforcement concerns, and legal interpretation—but the essence of the entertainment tax is that when people spend money on leisure or events, a small portion is paid as tax to the state government to support development,” another commentator said.

Analysts say the controversy highlights the broader challenge faced by subnational governments across Nigeria as they seek to increase internally generated revenue amid declining federal allocations and growing fiscal pressures.

Several states have in recent years introduced or expanded levies on entertainment, hospitality, and tourism activities as part of efforts to widen their tax base.

While supporters argue that such taxes can help fund public services, critics warn that poor policy communication, overlapping taxes, and weak economic conditions could fuel resistance from citizens and businesses.

The debate surrounding the Ondo policy underscores the delicate balance governments must strike between expanding revenue sources and maintaining public trust, particularly at a time when many Nigerians are facing significant economic hardship.