Edo Private Schools Owners Protest Tax Hike, Warn of School Closures and Mass Job Losses

By: Henryrich Ojo

The Coalition of Associations of Private Schools in Edo State has issued a strong call for the state government to reverse what it describes as a “punitive” increase in various taxes, including Personal Income Tax and Pay As You Earn (PAYE). School owners staged a peaceful protest in Benin City on Friday, warning that the tax hike could cripple the education sector and lead to massive job losses.

According to the group, the Edo State government has increased taxes by an alarming 200 to 400 percent, a move they argue is unsustainable for private educational institutions that are already grappling with high operational costs.

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Private School Owners Decry “Alarming” Tax Hike

Protesters gathered at the Ministry of Education to express their dissatisfaction. The coalition’s chairman, Dr. Ohis-Olakhe Emmanuel, who led the demonstration, stated that all efforts at dialogue had failed, prompting them to take to the streets.

“Private schools not only complement government efforts in the education sector but are also major employers of labour,” Emmanuel said. “With this increase, over 300,000 teachers are at risk of losing their jobs—not to mention the many vendors and service providers who rely on schools for their livelihoods.”

Dr. Emmanuel further criticized the methodology used in computing the taxes, alleging that the government’s assumptions are based on a flawed per-student earning estimate of ₦30,000 to ₦35,000, whereas many schools charge considerably less. He argued that taxation should be based on net profit, not gross income, as schools incur numerous operational costs including staff salaries, rent, learning materials, and utilities.

Ripple Effects: School Closures and More Out-of-School Children Feared

Also speaking at the protest, Dr. Austin Igbasan, Secretary of the coalition, warned that the tax increase would likely lead to widespread school closures, job losses, and a spike in the number of out-of-school children, particularly those from low-income households.

“The consequences of this hike will not be limited to school owners. It will ripple into the wider economy, affecting families, staff, and service providers,” Igbasan stressed.

He noted that low-cost private schools provide access to education for thousands of children who might otherwise be left behind by the public system. Increasing the financial burden on these institutions, he argued, contradicts the national commitment to expanding educational access.

Call for Harmonised and Reasonable Tax Structure

Oladele Ogundele, Secretary of the Association of Formidable Education Development, echoed similar concerns and urged the state government to implement a harmonised tax regime for school owners. He enumerated several levies and charges already imposed on private schools, including:

• Personal Income Tax
• PAYE for employees
• Renewal Fees
• Environmental and Health Certificates
• Signage Fees
• Tenement Rates

“Education is a social service and should be supported, not taxed into extinction,” Ogundele declared. “The Nigerian Constitution and the Universal Basic Education Act both emphasize free and compulsory education. This current level of taxation flies in the face of those principles.”

He urged the state to recognize the crucial role private schools play in Nigeria’s education system and to treat them as partners, not targets of excessive taxation.

Government Promises to Review Grievances

In response to the protest, Edo State Commissioner for Education, Paddy Iyamu, addressed the demonstrators and acknowledged the concerns raised. He promised to organize a meeting with the Edo State Internal Revenue Service (EIRS) to review the tax structure affecting private schools.

“Taxes are necessary for the government to meet its obligations, but we will ensure schools are not overburdened,” Iyamu assured.

As stakeholders await the outcome of the government’s promised review, private school operators are urging swift and sincere action to prevent what they fear could be a collapse of private education in the state.