PwC MSME Survey 2020
What percentage of your company's income or profits does taxes/levies account for?
S
42%
49%
6%
Less than 20%
20 - 40%
41 -60%
61 - 80%
Over 80%
Source: PwC analysis
PwC MSME Survey 2020
PwC
49 percent of SMEs revealed that they pay 20% to 40% of their
income or profits on taxes and levies. 28 percent of businesses
pointed out that the Local government charges, taxes and levies
were the most difficult to comply with.
The average income tax rate for companies is about 32% and for
non-incorporated entities 19.2%. This may mean that the local
government actually accounts for the remaining 10% to 20% of tax
contribution from SMEs.
The percentages are significant when compared to actual
contributions by LGAs to tax collection in 2019.
Unlike data on Federal and State tax revenues, Local government
tax revenues are relatively difficult to ascertain or obtain.
There is need for consensus and collaborative dialogue from all
public and private sector stakeholders in dealing with the data
gaps, issues and challenges at the LG level.
June 2020
27View entire presentation