Borno state Governor Babagana Zulum has expressed concerns that President Bola Tinubu’s push for the tax reform bills could have severe consequences for millions of Nigerians. Although the president has the executive power to pass the bills, Zulum cautioned that doing so could be detrimental to the country......Read The Full Article>>.....Read The Full Article>>
The bill, which has passed its second reading in the Senate, is facing strong opposition from Northern elites, including the Northern Governors Forum, Northern Elders Forum, and Senator Mohammed Ali Ndume.
Tinubu’s tax reform bills: What North wanted
Governor Babagana Zulum said the North is not entirely opposed to the Tax Reform Bill but is seeking more time for consultation and a thorough understanding of its implications.
He noted that the proposed tax scheme would only benefit Lagos and Rivers, leaving other states, including those in the North, disadvantaged. Zulum argued that the VAT provision in the tax law, which allocates 60% of VAT tax based on derivation, would disproportionately benefit states like Lagos and Rivers.
The Borno state governor urged the federal government to pause and remove some of the clauses in the tax bill that are detrimental to the growth and development of northern Nigeria and the southeast and south-south regions. He emphasized that the country is a democracy, and it is essential to understand the intricacies of the tax regime.
Zulum spoke when he was featured on Channels Television’s Politics Today on Sunday, December 1. He reiterated that he respects President Tinubu’s executive power but cautioned that using this power to pass the tax bill could have far-reaching consequences for the country.
Highlights of tax reform bills
Legit earlier reported that Tinubu’s administration released 13 highlights of the tax reform bills sent to the national assembly.
According to the presidency, the existing tax system is complex and stifling growth, bringing low revenue results.
According to Sunday Dare, the president’s special adviser on public communication and orientation will help promote sustainable economic growth.
