From Romanus Ugwu, Abuja
The last may not have been heard about the controversial Federal Government Tax Reform Bill, as Nigerians have categorically rejected the Governors Forum’s proposed VAT sharing formula, allocating percentages based on equity, derivation, and 20 population.
Backing President Bola Tinubu on the Tax Reform Bill, the concerned Nigerians under the auspices of Citizens Network for Peace and Development in Nigeria, claimed that it will reduce tax burden on the poor and ensure that funds are made available for public services that benefit marginalized communities.
Addressing newsmen at a press conference held in Abuja on Friday, they argued that the formula did not take into account productivity and economic growth, which are critical factors in determining a state’s contribution to the national economy.
The communique confirming their position was signed by seven representatives, comprising the National Coordinator, Okorie Ikechukwu Raphael, Chijioke Nwachukwu, Ben-Kalio Adokiye, Dangana Abubakar, Joachim Ikechukwu, Ali M. Paul and Alhaji Isa Usman Tiki.
According to them; “We, the undersigned representatives of the Nigerian populace, driven by our collective aspiration for equity, justice, and economic progress, have gathered to express our unified position on the Tax Reform Bill currently before the National Assembly.”
“We categorically reject the Nigeria Governors Forum’s proposed VAT sharing formula, which allocates 50 per cent based on equity, 30 per cent based on derivation, and 20 per cent based on population.”
“This formula does not take into account productivity and economic growth, which are critical factors in determining a state’s contribution to the national economy.
“When enacted into law, the Tax Reform legislation, shall provide opportunity for a fairer redistribution of wealth, allowing the government to prioritise the needs of the underprivileged.
“If we consider the notion that the true measure of any society is how the society treats its most vulnerable members, then the beauty of the Tax Reform Bill lies with it’s intent to make richer individuals and entities to contribute proportionally more.
“This will definitely reduce the tax burden on the poor and ensure that funds are available for public services that benefit marginalized communities. In addition to making the rich pay more taxes, the Bill seeks to promote equity and fairness.
“This proposed game changer is designed to ensure that high-income earners and large corporations contribute proportionally to national development. It no doubt corroborates the assertion that from whom much is given, much is expected,” the angry Nigerians noted.