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NASS: Tinubu Addresses Tax Reform Bills Controversy, Gives Fresh Directive

Published

11 hours ago

Dec 4, 2024.

President Bola Tinubu has directed the Ministry of Justice to collaborate with the National Assembly to address concerns raised about the contentious Tax Reform Bills.

This directive comes amidst nationwide debates and protests, with critics claiming the proposed reforms could disrupt fiscal federalism by centralizing tax authority and diminishing state revenues.

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EKO HOT BLOG reports that the bills—Nigeria Tax Bill 2024, Nigeria Tax Administration Bill, Nigeria Revenue Service (Establishment) Bill, and Joint Revenue Board (Establishment) Bill—have faced opposition, particularly from northern governors and lawmakers.

At an October 28 meeting, the Northern Governors’ Forum rejected the new VAT-sharing model, warning it could undermine their regions’ financial autonomy. Governor Babagana Zulum of Borno State expressed concerns about potential consequences for Nigerians, arguing the reforms might disproportionately benefit Lagos and Rivers states.

Despite these concerns, some northern leaders, including Nasarawa State Governor Abdullahi Sule and former Speaker Yakubu Dogara, have endorsed the reforms.

On Tuesday, northern youths staged a protest at the National Assembly supporting the bills, describing critics as “enemies of progress.” Tijani Mohammed, speaking on behalf of the protesters, praised the bills as a path to national progress and urged lawmakers to pass them.

Tinubu Tax Reform Bills

The presidency has maintained that the reforms will not impoverish any state, asserting that critics’ reactions are not grounded in facts. Minister of Information Mohammed Idris affirmed that the fiscal reforms aim to strengthen Nigeria’s economic framework without weakening federal agencies.

Sheikh Ahmad Gumi, a prominent Islamic scholar, also backed the reforms, describing them as necessary for economic improvement, while calling for a review of the contentious VAT-sharing model.

The presidency emphasized its openness to meaningful inputs and nationwide debate on the bills, stating, “This is the essence of democracy.”

Meanwhile, the Senate has passed the bills for a second reading, continuing deliberations amidst sharp criticisms and public engagement.