ETHNIC nationalities in the Middle-belt and North have thrown their support behind the tax reform bills which are presently before the National Assembly. They also urged the presidency and the NASS to cooperate and synergise to ensure that the tax reform bill pass through the normal process.
This is just as the former Nigerian Ambassador to Ukraine, Ambassador Ibrahim Yakassai, said reform of the tax law in Nigeria is long overdue and commended the president for taking the bold step based on the advice and recommendations of the National Economic Council (NEC).
Recall that during the 144th meeting of the NEC led by Vice President Kashim Shettima, the council suggested that the bills be withdrawn following a meeting of governors from the 19 northern states in Kaduna, where they, alongside prominent traditional leaders from the region, collectively decided to oppose the Nigeria Tax Reform Bill.
But President Bola Tinubu, through a statement issued by his media aide, Bayo Onanuga, urged the NEC to allow the process to run its full course.
Yakassai posited that it was wrong for the Northern Governors Forum and traditional rulers from the region to instruct lawmakers from the north to reject the bill, adding that the sentiment attached was wrong and not progressive.
Ambassador Yakassai tasked the National Assembly to forge ahead with the legislative process, which has already begun, adding that it will provide an opportunity for inputs and necessary changes without withdrawing the bills from the National Assembly.
Speaking extensively on its position, National President of the Association of the Middle-Belt Ethnic Nationalities (ASOMBEN), Sule Kwasau, said legislative processes on the bill should continue, adding that the reform became necessary considering the myriad complaints of lopsidedness of tax administration in the country, especially over how the Value Added Tax (VAT) was being shared.
According to him, the president is also seeking to repeal the law establishing the Federal Inland Revenue Service (FIRS) and replace it with the Nigeria Revenue Service, adding that it is also apt and necessary, adding there is the need to organise tax in Nigeria in line with the global best practices for efficiency.
“I know one of the bones of contention with the reform is the sharing of VAT. There is this school of thought that it is the manufacturing company that should be the one to benefit from VAT, and others are saying there are those who are not the manufacturer but they have consumers.
“Another argument is that if you don’t allow the sales of alcohol in your state, why should you benefit from the proceeding? To me, I think the tax system in Nigeria needs reform. If you don’t allow the sales of alcohol in your state, which is haram, the proceeds from such should also be haram to you.
“I want to believe that the president has done the right thing by saying that the bill will not be withdrawn from the National Assembly. It now behooves on the legislature to do the right thing by subjecting it to regular debate.
“The National Assembly has the capacity to resolve the issue. They represent the diversity of Nigeria. Whether they have political will is another thing. And in the interest of the generality of Nigerians, they should go ahead and do so. But from the way the argument is going, some of them may decide to align themselves with the sentiment of their region, which will not augur well for us as a nation.”
The ASOMBEN president warned on the implications of addressing the issue on the basis of ethnicity, regionalism, and other primordial sentiments, adding that it is a time of crisis that you know who is a stateman; this is the time for them to prove that they are statemen.
Speaking in the same vein, the Progressive Northern Youth Forum (PNYF) commended President Tinubu for rejecting the NEC recommendation to withdraw the tax reform bills.
PNYF, in a statement signed by its Secretary General, Abdulkadir Bala, expressed its support for the president’s decision to disregard the stance of NEC members, particularly the Northern Governors’ Forum.
Bala emphasised that the position taken by the Northern Governors’ Forum does not accurately represent the views of the people of the region regarding the tax reform bills.
“The governors have consistently demonstrated a lack of initiative to lead the North and instead rely on federal allocations, squandering the resources of the people. Rather than proposing similar bills to enhance their states’ internally generated revenues, the governors are inexplicably opposing efforts to reduce dependence on the federal government.
“If the governors genuinely cared for their constituents, they would have taken advantage of the opportunity to provide input and propose changes during the legislative process, rather than calling for the withdrawal of the bills from the National Assembly.
“What is the Northern Governors’ Forum afraid of? Clearly, they are afraid of taking responsibility. They want to continue being financially sustained by the Federal Government without making any efforts to develop their own revenue-generating initiatives. There is no evidence to show that the current Northern governors have effectively utilised all the allocations they have received from President Tinubu’s federal government.
“The governors should stop opposing people-oriented bills brought forth by the federal government and focus on fulfilling their responsibilities to the public. Otherwise, the people may feel compelled to demand their impeachment or resignation.
“Once again, we commend President Tinubu for remaining steadfast in his support of the tax reform bills, despite attempts by some self-serving individuals to dissuade him.
“The North fully supports the tax reform bills, as they aim to streamline Nigeria’s tax administration processes, completely overhaul the nation’s tax operations, and align them with global best practices.”
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