Increasing demand for provision of urban and rural infrastructures with dwindling federal
revenue allocations have influenced the Lagos State Government to promulgate Land Use
Charge Law (2001) to increase internally-generated revenues through property tax. The Law
provides the formula for assessing the Charge payable on properties in Lagos State, amongst
other provisions. This paper reviewed the law and determines its short- and long- term effects
on housing which is one of the thematic areas of Vision 2020. In attaining this, process of
inferences was adopted to evaluate the law in addition to questionnaires administered on
selected Estate Surveyors and Valuers practicing within Lagos metropolis. The paper found
that the statutory formula to determine the amount of Charge payable is inappropriate and
that high Charge and penalties may discourage investment in new housing and maintenance
of existing stock. It therefore recommended its review to allow appropriate basis of fair and
equitable tax to encourage the investors and owners such that the goal of Vision 20:2020
Housing Thematic Area becomes realizable.