Tinubu’s Tax Reforms Face Hiccups As PDP, Labour Party, Lawmakers Clash

The Peoples Democratic Party (PDP) and other stakeholders have urged the Federal Government to engage in wider consultations on the controversial tax reform bills currently before the National Assembly.

These include the Nigeria Tax Bill 2024, Nigeria Tax Administration Bill, Nigeria Revenue Service (Establishment) Bill, and the Joint Revenue Board (Establishment) Bill, all aimed at overhauling the nation’s tax system.

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EKO HOT BLOG reports that the bills, transmitted by President Bola Tinubu after Federal Executive Council approval in October, propose consolidating existing tax laws and establishing bodies like the Tax Appeal Tribunal and the Office of the Tax Ombudsman. However, their accelerated consideration has sparked widespread opposition, particularly from northern lawmakers and governors.

PDP Deputy National Publicity Secretary Ibrahim Abdullahi questioned the urgency behind the bills, highlighting the need to prioritize citizens’ interests amidst economic hardship.

“With inflation and harsh policies already affecting Nigerians, rushing these bills raises suspicions about the government’s intentions,” he said. Deputy National Youth Leader Timothy Osadolor echoed this, urging the government to ensure thorough consultations and avoid a “Nazi-style” approach to democracy.

Labour Party’s presidential candidate in 2023, Peter Obi, also called for transparency and public engagement. “Reforms must be subject to robust public debate,” Obi stated via his X handle, emphasizing the need for inclusivity and trust in policymaking.

Labour Party Secretary Umar Farouk outrightly opposed the bills, citing concerns over equity and potential negative impacts on the North and low-income citizens.

Northern lawmakers have also resisted the bills, with some describing the opposition as “total.” Tijjani Ghali, a New Nigeria People’s Party lawmaker, supported the Northern Governors Forum’s rejection, citing the region’s economic challenges. Southern lawmakers, including APC’s Babajimi Benson, suggested further negotiations, while others, like Oluwole Oke, called for public hearings to address contentious clauses.

Despite the opposition, Senate Committee Chairman Seriake Dickson assured that the bills would follow due legislative process, including public hearings. He defended the reforms as an opportunity to correct tax anomalies, particularly in resource allocation among states.

With consultations ongoing, stakeholders stress that meaningful dialogue is crucial to achieving consensus on the proposed reforms.

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