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Northern Governors: Reps Halt Debate On Tax Reform Bills Indefinitely

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5 hours ago

Dec 2, 2024.

Reps Halt Debate On Tax Reform Bills Indefinitely

The House of Representatives has indefinitely postponed discussions on the contentious Tax Reform Bills, bowing to mounting opposition from the governors of Nigeria’s 19 northern states and their legislative allies.

The Clerk of the House, Dr. Yahaya Danzaria, confirmed the suspension in a memo issued on November 30, 2024.

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EKO HOT BLOG reports that the memo cited the need for broader consultations with stakeholders, postponing the session initially slated for December 3.

This decision follows a tense closed-door session where 73 northern lawmakers, including 48 representatives from the insurgency-hit North-East and 24 from Kano State, voiced their objections. Prominent figures like former Sokoto State Governor, Senator Aminu Tambuwal, also rejected the bills, citing concerns over their potential impact on the North’s struggling economy.

During the session, a lawmaker from Borno State highlighted the region’s plight: “The North-East, already the poorest before insurgency, has seen its wealthy reduced to beggars in IDP camps. These reforms will worsen an already dire situation.”

The Tax Reform Bills, submitted to the National Assembly by President Bola Tinubu in September, propose sweeping changes, including a new fiscal framework and the establishment of a tax ombudsman. However, critics argue that the reforms, particularly the Value Added Tax-sharing formula, unfairly favor Lagos State while threatening to deepen regional inequality.

Northern Governors Forum Chair, Babagana Zulum, has been a vocal opponent. He urged a slower, more consultative approach, warning that rushing the bills would harm the North and other regions. “Democracy demands consultation. These bills should not be rushed at the expense of Nigeria’s unity,” he said.

While the All Progressives Congress (APC) lobbies for the bills’ approval, resistance remains strong. Lawmakers and civil society groups in northern and southern states continue to demand further review, citing the risk of exacerbating economic disparities.