On Thursday, the Nigerian Senate passed four tax reform bills for a second reading through voice votes.
President Bola Tinubu had transmitted the bills to the National Assembly for consideration on October 3, sparking controversy, particularly among Northern governors and other stakeholders who voiced opposition to the reforms.
In response, the Presidency clarified that the bills were not intended to target any specific region but were part of a broader effort to promote national development.
Read Also: APGA Chairman Makes Fresh Revelation On Bianca Ojukwu’s Ministerial Appointment
The Senate’s second reading included a Bill to Establish the Joint Revenue Board, the Tax Appeal Tribunal, and the Office of the Tax Ombud, all key components of Tinubu’s comprehensive tax reform agenda.
The legislation aims to streamline and coordinate revenue administration, as well as address disputes within Nigeria’s tax system.
During the session, lawmakers discussed the general principles of the reform bills. Prior to the open debate, the Senate held a closed-door meeting to review the four bills, which were initially transmitted by President Tinubu on September 3, 2024, in line with recommendations from the Tax Reforms Committee chaired by Taiwo Oyedele.
Trending Now:
While the reforms were largely recognized as crucial for modernizing Nigeria’s tax system and alleviating the tax burden on citizens, Senator Ali Ndume raised concerns about the timing and certain provisions.
He suggested that, with amendments, the bills could be passed “in less than 24 hours” if withdrawn and reintroduced.
However, the Chief Whip strongly disagreed, advocating for the bills to proceed to the public hearing stage as part of the legislative process.
Read Also: How I Will Bring Lasting Peace To Nigeria – Acting COAS
“The bill should scale second reading and undergo thorough examination during the public hearing. Afterward, it can be subjected to clause-by-clause consideration.”
According to the only dissenting voice, Sen. Ali Ndume: “Reforms are necessary, I am not against any reforms. My problem is the timing as it is today in Nigeria as we say I want to add to what Senator Seraike said.
“One will be at the public hearing and the issue of derivation because the Constitution has to be amended before some of the proposals of the Bill can be affected.
“This bill should be withdrawn, we work on it and submit it after getting the buy-in of the Governors, Traditional Rulers and the NEC.
“I looked at the bill and it contains so many but these two things VAT and Derivation. You negotiate first before we come to take a position.
“It looks attractive but it may not be what it is. If you move a tax burden to the manufacturer he will transfer it to the consumer.
“In the bill, we say a reduction from 30% to 25% which means that the person in Nnewi that is no longer able to make Billions, you are charging him with the same person that is just sitting down doing Nothing.”
On October 3, President Bola Tinubu transmitted four tax reform bills to the National Assembly for consideration.
The bills include the Nigeria Tax Bill 2024, which aims to establish a comprehensive fiscal framework for taxation in the country, and the Tax Administration Bill, designed to create a clear and concise legal framework for all taxes, thereby reducing disputes.
Additionally, there is the Nigeria Revenue Service Establishment Bill, which seeks to repeal the Federal Inland Revenue Service (FIRS) Act and establish the Nigeria Revenue Service, and the Joint Revenue Board Establishment Bill, which proposes the creation of a tax tribunal and a tax ombudsman.
In his submission, the president emphasized that these bills are intended to strengthen Nigeria’s fiscal institutions and align with his administration’s broader development objectives.
For More Information And News Update, Join Informant Online WhatsApp Channel With Link Below:
https://whatsapp.com/channel/0029VaihFajBadmT29ufud2Z
https://whatsapp.com/channel/0029VaihFajBadmT29ufud2Z
