Oyo moves to bring hospitality businesses into tax system

The Commissioner for Culture and Tourism, Ogun State, Wasiu Olatubosun

The Oyo State Government, on Thursday, announced plans to bring all hospitality businesses in the state into the tax system as part of efforts to improve data collection, boost revenue generation and strengthen security coordination across the sector.

The state Commissioner for Culture and Tourism Development, Wasiu Olatubosun, announced this at the state Tourism and Hospitality Conference, held in Ibadan, in conjunction with ITC Advisory Services.

Olatubosun said, “The majority of hospitality operators in the state are yet to register with the government, while some registered businesses were not remitting their dues regularly, a situation that was significantly affecting the state’s revenue generation.

“The renewed engagement with stakeholders was the first phase of a three-stage process comprising identification, cooperation and enforcement, with the enforcement stage expected to commence in October, 2026.”

He urged hospitality businesses to take advantage of the ongoing engagement and comply with the requirements of the state government.

Olatubosun also enjoined hospitality businesses to submit monthly figures of customers who patronise their facilities to help populate data at the Bureau of Statistics and enhance security coordination across the state.

Also speaking, the lawmaker representing Oyo East/Oyo West Constituency, Olorunpoto Rahman, reiterated the commitment of the state House of Assembly to partnering with the Executive Arm of government to build a tourism sector that is secure, data-driven and business-friendly.

He said, “Governor Seyi Makinde-led administration was deliberate about maintaining order in the state,” noting that “tourism is one of the development plans receiving attention.”

He noted that the House of Assembly would continue to support the Ministry of Culture and Tourism in its efforts to develop the sector, urging stakeholders to work together towards making Oyo a preferred tourism destination.

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Speaking on the digital initiatives being proposed for the sector, the Director of ITC Advisory Services, Olabode Ajetunmobi, said Oyo had the potential to become one of Nigeria’s strongest tourism and hospitality destinations.

He said, “The proposed Oyo Guest Identity Verification System and Oyo Booking Platform were designed to support the development of a more organised, secure and competitive hospitality sector.

“The initiatives were not intended to put pressure on hotels but to help licensed and compliant establishments become more visible, safer, more trusted and competitive. The initiatives would provide opportunities for hotels to benefit from state-backed digital visibility, guest identity verification, safer hotel operations, discounted outdoor advertising, health insurance support for hotel workers, discounted Property Management System access through Stay Flow, reliable internet support and improved access to tourists, visitors and corporate guests.

“Compliance should not be viewed as punishment, but as a pathway to access, visibility, customers, support and growth.

“There were also presentations on security and public safety compliance in the hospitality sector, continuity and sustainability as well as revenue generation and opportunities for increased revenue in the hospitality industry.”

The interactive session, which brought together stakeholders in the hospitality sector, including hotels, lounges, nightclubs, eateries and other related businesses, focused on strengthening tourism and hospitality for sustainable growth.

Stakeholders also raised various questions and concerns bordering on compliance, revenue generation, security, data collection and the general development of the sector.

The Chairman of the Hoteliers Association, Ayodele Ogundele, said that improved collaboration between government and operators would create a situation beneficial to all stakeholders.