In what appears to be a premeditated line of action, lawmakers, governors and other leaders and elites from the northern part of Nigeria have opposed President Tinubu’s four bills on taxation.
The Tinubu administration places premium on the tax bills which it hope will help reform and institutionalise a proper tax system in the country. The government had also said the tax reform bills were intended to help protect the poor while improving public fund for government expenditures.
President Bola Ahmed Tinubu
The House of Representatives planned to begin hearing and deliberation on the bills on Tuesday.
However, the green chamber in the late hours of Sunday, announced that it had suspended indefinitely, the debate on the bills earlier following mounting pressure from the 19 northern states governors.
The bills are: Nigeria Tax Bill 2024, Tax Administration Bill, Nigeria Revenue Service Establishment Bill and Joint Revenue Board Establishment Bill.Travel guides
The planned debate was called off in a memo signed by the Clerk of the House of Representatives, Dr Yahaya Danzaria, as 73 northern lawmakers kicked against the bills.
The Nigerian Economy gathered that tose who rejected the bills include 48 members of the House of Reps from the North-East, 24 from Kano and a former Governor of Sokoto State, Senator Aminu Tambuwal, who represents Sokoto South Senatorial District. Governor Babagana Zulum of Borno State had long rejected the bills claiming it would only benefit Lagos State.
Nigeria needs the tax reform bills
Deputy Spokesperson, House of Representatives, Philip Agbese (APC-Benue), who strongly supports the bills had told newsmen in Abuja on Saturday that Reps had taken time to read through the bills.
Executive Chairman, Federal Inland Revenue Service (FIRS), Dr Zacchaeus Adedeji.
According to the Executive Chairman, Federal Inland Revenue Service (FIRS), Dr Zacchaeus Adedeji, who initiated the bills on behalf of the Presidency, the tax reform bills seek to provide fiscal framework as well as clear and concise legal frameworks for all taxes in the country and reduce disputes in tax administration.
Agbese said Nigerians would remain grateful to the FIRS boss, Adedeji for the reforms. He insisted that the bills intended to stimulate the country’s fiscal policy.
“Nigerians will appreciate very soon because when these bills are passed and the Federal Government has more money to spend, critical infrastructure will be developed, jobs will be created and, to a great extent, poverty will be reduced,” Agbese said on Saturday.
House of Reps drop bills
However, the memo suspending the debate dated November 30, 2024 and tittled, “Rescheduling of Special Session on Tax Reform Bills,” reads: “I am directed by the House leadership to inform all Honourable Members that the special session, initially scheduled for Tuesday, December 3, 2024, to discuss all the tax reform bills, has been postponed to a later date.
“This rescheduling is due to the need for further and broader consultations with all relevant stakeholders. A new date and venue for the session will be communicated in due course. We regret any inconvenience this may cause and appreciate your understanding.”
As plans came on stream to start a debate on the bills, the House of Representatives had a hot close-door session on Thursday, during which Reps from the North moved against the tax reform bills.
Leaked footages from the session showed the member representing Damboa/Gwoza/Chibok Federal Constituency, Borno State, saying, “On behalf of the 48 honourable members from the ravaged North-East sub-region, I want to first of all rely on the position of the three previous caucus leaders. In addition to this, the primary responsibility of every government is simply the welfare of its citizens.
“North-East, even before the insurgency, was the poorest region in Nigeria. Today, our people have been turned into beggars. Billionaires and millionaires of yesterday have to queue up in IDP camps in host communities to collect 10kg bags of rice.
“If other parts of the country were in our shoes, even this sitting would not be possible. We have concluded that we are going to make further consultations because there is nothing that is cast in stone.”
Giving an insight into the development during the closed-door session, a lawmaker from the North-West, stated, “As the representatives of the people, we have resolved to continue our consultation on the matter,” adding that “Things degenerated almost to a point of rebellion against the Deputy Speaker Benjamin Kalu who presided over the executive session.
“From what I can deduce, the Governors of the North are not yet convinced about the arguments in favour of the bills. The bills are against the interest of the North and that is why we are saying, ‘if you think this is not the case, give us more time to consult with our people.’
“The speed with which they want these bills considered and passed is suspicious. This is why our governors are not convinced and we are not convinced either,” he noted.
Tax bills intended to favour Lagos — Zulum
Also condemning the bills, Zulum, on Sunday, said while he was not an enemy of President Tinubu’s administration, only Lagos would be the major beneficiary of the bills.
The governor made the clarification on Channels Television’s Politics Today.
He said: “I am a strong member of the APC. If you are to count two governors who have been in support of Tinubu from 2019 to 2023, you can mention Prof Zulum. I was the first governor to come out publicly to say that power must go to the South.
“Unfortunately, the President was told by many that the North is against him. About 60.2 per cent of his votes came from the North. On this tax issue, there are a lot of misconceptions. During the NEC, we advised the Federal Government to pause for a moment to have a deeper consultation with stakeholders. That was our own statement.
Governor Babagana Zulum of Borno State
“But later on, people turned it upside down. I want you to believe that our consultation is central to democracy and in a democratic setting, we are begging for the right to be consulted. This is only what has happened.”
Zulum added: “I am not an economist. But based on the calculations we did, only Lagos will benefit from, this scheme. However, we have had a series of consultation with the FIRS team and had a meeting with the tax team of Lagos State. Lagos told me that they will lose a lot if this implemented. They said ‘We did our research and concluded we will lose.’
“Then why are we in a rush? Not only in Northern Nigeria, the Southeast, South-South and even the Southwest will be severely affected. Only Lagos will benefit from this scheme. But what we are telling them is to give us time. Why are we in a rush? Let us pause and do deeper consultation because we are in a democracy.
“We should look at the nitty-gritty of these bills before passing into law. This is our only bone of contention. And then people are saying Prof Zulum and the governors are against the president. This is a democratic setting. People want us to run a garrison democracy. Most of these monies will go to Lagos. We need more time.”
