Northern States Wouldn’t Be Able To Pay Salaries Under Tax Reform Bills – Governor Mohammed

The presidency recently introduced four tax reform bills for legislative consideration, namely the Joint Revenue Board of Nigeria (Establishment) Bill, 2024-SB.583; Nigeria Revenue Service (Establishment) Bill, 2024-SB.584; Nigeria Tax Administration Bill, 2024-SB.585; and the Nigeria Tax Bill, 2024-SB.586.

These bills aim to revise the current formula for the distribution of value-added tax (VAT) revenue among states and propose an increase in VAT rates.

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Economic experts have raised concerns that the proposed VAT hike could exacerbate the ongoing economic difficulties faced by Nigerians, further eroding their purchasing power.

Speaking in Bauchi yesterday while receiving a member of the Christian community who paid him a Christmas visit at the government house, Governor Mohammed cautioned the federal government against adopting an arrogant stance.

He stressed that any new policy should be carefully considered and inclusive of the needs of all regions.

The governor specifically pointed out that the Tax Reform Bills did not safeguard the interests of the northern states, warning that their implementation could deepen poverty in the region.