Tax Hikes Threaten Livelihoods of Small Business Owners in Cameroon

Tax hikes in Doula impedes business growth

In the vibrant streets of Douala, Cameroon, where entrepreneurship thrives, a pressing issue is emerging. Small business owners, particularly women, are feeling the squeeze of exorbitant tax hikes that threaten to undo years of hard work and perseverance.

“The burden of taxes in Cameroon is becoming increasingly difficult to bear, putting many of us at risk of resorting to begging on the streets of Douala just to survive,” expresses one entrepreneur who wishes to remain anonymous.

The recent tax revisions imposed by local authorities, particularly the Dla 2 council, have become the focal point of the issue. Previously manageable rates have skyrocketed, leaving business owners struggling with an overwhelming financial burden.

“It’s disheartening to witness how taxes can erode the efforts of hardworking individuals,” shares another entrepreneur, echoing the sentiments of many in her position.

The fees that were once considered reasonable, like the Impôt libératoire and Tax hygiène, have experienced a significant increase. The OTVP fees, originally meant for market vendors, have now been expanded to include shop owners as well.

“The OTVP used to charge 36,000 frs per year for 1m2 of space, but now they are asking for much higher amounts even for a small area,” laments a frustrated business owner.

However, what is particularly concerning is the recent decision by the Dla 2 council to implement a standardised OTVP fee of 180,000frs for all businesses, regardless of their size or location.

“Even small-scale vendors like myself, operating within residential areas, are expected to bear this hefty burden,” expresses one entrepreneur, reflecting the sentiments of many who believe they are being unfairly targeted.

Speculation is rife regarding potential plans by local authorities to impose even stricter regulations on the display of merchandise outside shops. This would undoubtedly exacerbate the financial challenges faced by struggling entrepreneurs.

“In Dla 2 alone, the cumulative tax bill amounts to a significant 264,000frs,” shares one entrepreneur, highlighting concerns about the viability of sustaining businesses amidst this considerable financial pressure.

Amidst the challenges of increasing taxes, there is a growing call for the mayor of Dla 2 to reassess these burdensome actions and acknowledge the struggles faced by small businesses.

“It is crucial for the mayor of Dla 2 to acknowledge the challenges faced by small businesses and reevaluate the tax measures,” emphasises a concerned citizen, also impacted indirectly by the tax hikes.

Undoubtedly, as Cameroonians navigate this formidable obstacle to their entrepreneurial endeavours, there is an enduring expectation that policymakers will attentively address their pleas for assistance and safeguard the aspiration of achieving prosperity from slipping away.