12/9/2024

New — Northern Lawmakers Shifting Stance on Tax Reform Bills

by:

Christina Ngene

In a general term, the tax reform bill process in Nigeria is difficult but necessary if it wants economic growth.

Nigeria Tax Reform Bills. Photo: Pixabay/Peggy_Marco

Nigeria — Amid massive economic turmoils, the primary object of a country in its position is pursuing sustainable development. The recent tax reform bill is an instrument of change that will reduce the tax load for all stakeholders. More so accelerate sustainable growth, and ensure the creation of a healthy fiscal system that is inclusive.

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Nigeria — Tax Reform Bills Overview

On October 3, President Bola Tinubu presented the National Assembly with four administrative bills for consideration. The bills Joint Revenue Board of Nigeria Bill, 2024; Nigeria Revenue Service Bill, 2024; Nigeria Revenue Service Bill, 2024, and Nigeria Tax Bill, 2024 aim to implement significant tax reforms in the country. The first three are establishment bills and the latter is a re-enactment.

The bills have taken the Senate to a new level of chaos and raising more controversy daily. Northern senates have disagreed with several clauses of tax reform bills with claims that it is against them, stakeholders have organised forums, and others agree that tax reform is long overdue.

The FG has repeatedly addressed the fears of the North about Tax Reforms and says they are not against the North. President Tinubu said that Executives are going to work with all stakeholders to address all concerns comprehensively.

As some senators from the North have given their endorsements to the bills, other northern establishments could be constituting opposition to Tinubu’s administration on account of the tax reforms. Former Kaduna Senator, Shehu Sani had suggested this with his contribution during a public lecture on Saturday in Kaduna.

More recently, Northern lawmakers are beginning to change their stance and deciding on a consideration of the tax bills.

A technical committee has been formed by Former Kano State Governor, Senator Ibrahim Shekarau, and some elite members of the League of Northern Democrats. The group said that it aims to review the four bills.

The Minister of Information and National Orientation, Mohammed Idris, said “All over the world, effective taxation is important as a source of financial power for governments to provide social services for their citizens. However, there is plenty of reason to believe and assert that Nigeria’s tax administration system has become long overdue for reform, on account of design and implementation flaws as well as the general attitudes of taxpayers toward taxation.”

The Senate President, Godswill Akpabio confirmed that the public hearing of the bills is still in place and that the bills are withdrawn.

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New — Northern Lawmakers Shifting Stance on Tax Reform Bills

Christina Ngene

Urban Naija