Abia Governor Blames New Tax Rates for Recent Salary Deductions | #NwokeukwuMascot

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Abia Governor Explains Salary Deductions, Blames New Tax Rates | #NwokeukwuMascot


 Alex Chioma Otti 

Abia State Governor Alex Otti has addressed concerns regarding recent salary deductions affecting some civil servants, attributing the issue to changes in tax rates. The Governor provided clarity during his monthly media interaction at the Government House in Umuahia on Friday night.




Governor Otti explained that investigations into the salary complaints revealed that the deductions were due to the transition from the outdated 2018/2019 tax rates to the updated 2021/2022 tax laws. This change has resulted in variations in net pay for some employees.




“Many employees who noticed reductions in their salaries were initially troubled,” Otti said. “Our investigation determined that these deductions were due to the shift from an older tax rate to the current rate. The former tax rate, applicable until recently, has now been replaced by a new tax law.”




The Governor dismissed allegations of deliberate salary deductions, questioning the feasibility of such claims. “The salary funds are transferred directly from the state's account to the employee’s account. It is implausible for someone to manipulate these transactions without detection.”




Additionally, Otti addressed rumors of salary disparities across various Local Government Areas, stating that these claims were unfounded and attributed to the new tax deductions.





The Governor also discussed the policy on overtime pay. He clarified that overtime compensation would only be granted if specifically requested by the government. “Previously, some employees received overtime payments as a matter of course,” Otti explained. “Under the new policy, overtime pay will only be issued if there is a specific need identified by the government.”




This clarification aims to address concerns and provide transparency regarding the recent changes in salary structures within the state’s civil service.

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