FREQUENTLY ASKED QUESTIONS (FAQS) ON LAND USE AND AMENITIES CHARGE (LUAC)

  1. What is Land Use and Amenities Charge?

    Land Use & Amenities’ Charge is a consolidation of all  land -based rates and  charges  payable in Ogun State. It is an annual tax which consists of property Tax, Tenement Rate, Ground Rent, radio and television licenses payable from the first day of every New Year.

  2. What is the difference between Land Use and Amenities Charge and tenement rate hitherto being collected by the different Local Government before?

    3. For the purpose of this law each LGA has delegated to the State, its functions with respect to the collection of rates and assessment of privately and commercially owned houses. Tenement Rate has been abolished since 2013 and implementation of Land Use and Amenities Charge started in 2016.

  3. Who Pays Land Use and Amenities Charge?

    The property owner pays the Land Use and Amenities Charge; however, the property owner may appoint any person including tenant /occupier to pay on behalf of the owner, such payment shall be payable from any current or future rent/ money due or to become due from the tenant to the owner of the property.

  4. What is the role of occupier or tenant of chargeable property in the absence of real owner?

    It is the responsibilities of the tenant to ensure that the real owner pays accordingly. The Land Use and Amenities Charge notice can be delivered to the owner, occupier, or pasting on the building.

  5. What constitute successful delivery of Notices?

    In the absence of the owner or tenant to take delivery of the notice, the notice shall be pasted on the property.  

  6. How do you calculate my Land Use and Amenities charge?

    Land Use and Amenities Charge value is relative to an area, land value and Usage rate. The formula below is used to determine the annual charge Payable for any property under Ogun State Land Use and Amenities Charge Law, 2013

    For developed property, the formula shall be

    LUD= M x (BA x BV x PCR)

    For Un-developed property, the formula shall be

    LUD=M x (LA x LV)

    Where:

    LUD = Annual amount of Land Use and Amenities Charge in Naira

    M= Mill Rate

    BA= The total floor area of the Property in square metres or total floor area of the apartment which has a separate ownership title.

    BV= The Open Market Capital Value of Medium Quality Building in the neighbourhood per square metre of the building.

    LA= The Area of the Land Parcel in square metres

    LV= The Open Market Capital Value of a land parcel in the neighbourhood per square metres in Naira.

    PCR= The Property Code Rate for the building and which account for the building of higher or lower value than the average building in the neighbourhood and which also accounts for the degree of completion on construction of the building.

  7. I do not have balance carried forward from previous year(s).

    Kindly, bring or send all your previous proof of payment to:

    Land Use and Amenities Charge,

    Ministry of Finance,

    Ogun State Government,

    State Secretariat, Oke-Mosan, Abeokuta.

    Or Contact Us

    Email: luac@ogunstate.gov.ng

    Telephone: 0700 7777 4444

  8. Can I get a discount for early payments?

    Yes, the Ogun State government has approved 25% discount for early payment.

  9. Are there penalties for non-compliance?

    Yes, there are penalties for delayed payment and are enforceable under the law if not paid within the period specified in the notice. The charge payable shall be increased by the following percentage;

    • Between 45 and 75 calendar days 15%
    • Between 76 and 105 calendar days 30%
    • Between 106 and 135 calendar days 50%.
  10. How do I scan QR code on my Bill?
    1. Go to your app store (App Store, Google Play, Windows Marketplace, etc.)
    2. Search for QR code readers.
    3. Simply download and install the QR code reader to your phone.
      Note: You will need to open your downloaded QR code reader each time you want to decode a QR code. Otherwise, you will end up just taking a picture of the QR code.
    4. Simply point the camera at the QR code to be scanned and you’re done.
  11. Why Should I pay Land Use and Amenities Charge?

    Land Use and Amenities Charge is a part of revenue generating arm of the government. This revenue is used by the State Government to provide infrastructures and social amenities in the State.

  12. How do I make payment?

    You can pay through the following payment channels.

    Option 1(Online) : Payment Via the   http://pay.ogunstate.gov.ng

    • Enter the Payment Code on your bill
    • Confirm bill details and enter payer’s information
    • Select preferred payment channel:

    (i) (Card payment (Master, Visa or Verve Card)

    (ii) Bank transfer

    • Follow online instructions to complete payment

    Option 2 (Bank Branch) :

    • Visit any commercial bank with your bill.
    • Inform bank cashier that you want to pay the Ogun State LUAC via Remita or XpressPay.
    • Provide your Payment Code as shown on your bill.
    • Make payment and ensure that you obtain your e-receipt and teller from the bank at the point of payment

    Option 3 Point of Sale (POS) Terminal

    • Visit any LUAC, OGIRS or Town Planning offices in Ogun State.
    • Request to make payment with the OGSG POS.
    • Provide your Payment Code as shown on the bill.
    • Make payment and ensure that you obtain your POS receipt at point of payment.
    • Please keep a photocopy of POS receipts for your records

  13. Are there other Land Charges to pay?

    No, your Land Use and Amenities Charge covers tenements, ground rent, radio and television licences. Tenement Rate has been abolished since 2013 and implementation of Land Use and Amenities Charge started in 2016.

  14. What type of Property attract Land Use and Amenities Charges (LUAC)?

    All properties situate in the State attract LUAC except  properties that are provisionally exempted.

  15.  What Properties are exempted from payment of Land Use and  Amenities Charge?

    1. A building Owned and occupied by a religious body and used exclusively for public worship or non-fee-paying religious education;
    2. Public or religious cemeteries and burial grounds, excluding private cemeteries or any public cemetery run by a private enterprise whether in public-private partnership, joint venture or any other such commercial purpose;
    3. A recognized Public School or Educational Institution;
    4. Property used as a Public Library;
    5. All official palaces of recognized Obas and Chiefs in the State;
    6. Any property specifically exempted by the Executive Council by notice published in the Gazette.

  16. Does my neighborhood (Area) affect Land Use & Amenities Charge value?

    17. Yes, the value of land varies for different neighborhood depending on the development level of an area.

  17. Where can I get further Information?

    18. For additional information on Land Use and Amenities Charge please call 0700 7777 4444 or send email to: luac@ogunstate.gov.ng .

    You can also visit us at:

    Land Use and Amenities Charge,
    Ministry of Finance,
    Ogun State Government,
    State Secretariat, Oke Mosan,
    Abeokuta, Ogun State.