Addis Ababa is staging meat shortage since last week because of the additional tax levy and the decline by butcheries to buy oxen from informal traders, Capital reported.

Following the increment, a number of butcheries closed their shops, thus dwellers were rendered unable to get meat in nearby shops.

Ethiopian Revenue and Customs Authority (ERCA) beginning from 2014/15 fiscal year has levied a profit tax of 10 up to 35 percent on butcheries considering their size- higher, middle and low.

Prior to 2014/2015 fiscal year, ERCA used to calculate profit tax by assuming the price of an ox at 1,000 Birr. Nonetheless, the new system which came into action a year before requires butchers to come up with a voucher that displays how much the live ox is bought from farmers or formal cattle sellers.

The Addis Ababa Butchery Owners Association is displeased with the additional tax and said the situation occurred as a result of some selfish butchers who do not comply with the legal procedure.

Moreover, the association has submitted a letter to the Prime Minister’s Office and to the Ethiopian Institution of Ombudsman demanding a reconsideration of the tax.

Source: Capital