₦airaland Forum

President Bola Tinubu’s tax reform bills have suffered a setback as the Senate suspended action on the proposed legislations.


This was made known by the Deputy Senate President, Jibrin Barau, who presided during the plenary on Wednesday.

The red chamber further instructed the Committee on Finance to stay in action on the public hearing pending the time the agitation in the public space is addressed.


This comes as the Senate constituted a special committee to meet with the executive branch and work with the federal government to resolve the issues surrounding the tax reform bills.

“In this regard, we have decided to set aside politics, ethnicity, and regionalism to work together on resolving the issues surrounding the tax reform bills.

“In collaboration with the executive arm of government, we agreed to establish a forum to identify and address contentious areas to ensure national unity and progress.


“Before the introduction of these bills, we faced numerous challenges, including insecurity and economic issues.

“The President has been working to address these problems, and we are committed to supporting these efforts while tackling global economic challenges.

“We also agreed that no other issues should aggravate the country’s current difficulties.


“It has been mutually decided between the Executive and the Senate to engage the Judiciary to sort out these matters,” Barau stated.

Recall that the bills sparked controversy upon their introduction to the National Assembly.

The bills, which include the Joint Revenue Board of Nigeria (Establishment) Bill, 2024; Nigeria Revenue Service (Establishment) Bill, 2024; Nigeria Revenue Service (Establishment) Bill, 2024; and Nigeria Tax Bill, 2024, are aimed at revamping the country’s tax laws.


However, Northern governors and the National Economic Council rejected the bills on the grounds that they would put the region at a disadvantage.

But Taiwo Oyedele, Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, recently explained that the bills are more favourable to the Northern region.

Meanwhile, the latest move by the Senate comes after the bills were passed for second reading at the Senate last week.

On Tuesday, the House of Representatives had a rowdy session over divergent views on the tax reform bills.

https://dailypost.ng/2024/12/04/tinubus-tax-reform-bills-suffer-setback-as-senate-suspends-action/

Egwu adigo

The change they promised has changed the system.

The Tax Reform Bill Should be Suspended till the outstanding questions are answered, which will uncover the true motive behind the tax reform.

They say the tax reform will help low VAT generating states to earn more VAT share. To make this claim, they must have data to back it up. Can we see the data?

For example, Abia state generated N663 million VAT in August but after revenue share, they received N5 billion naira. Show me data that shows that when companies in Abia pay VAT to Abia and not their headquarters in Lagos, Abia will generate more money that will enable them get more than N5 billion naira in VAT after revenue share.

Why is this important? Because states like Abia are oil producing states in the country. If their oil revenue is distributed to other states, but when those states who benefited from their oil earn high VAT and you want them to keep most of their VAT, it’s not fair to oil producing states.

Lagos currently earns about 56% of VAT nationwide and they claim that VAT reform will make states earn more. No doubt that’s true, but how much increase are we talking about? Don’t be surprised they have already calculated it and they know that after reforms, it won’t move much needle, Lagos may even get more than it gets now after revenue share, but because it sounds nice to the ear that states will earn much more and get more share if companies pay to them instead of Lagos, some people are already supporting what they don’t know much about. Let us see the data you used to come to that conclusion, that’s all we’re asking.

I made a post explaining how the current oil revenue share compares with the proposed VAT revenue share:

https://www.nairaland.com/8284004/vat-reform-how-proposed-vat

We must be vigilant else propagandists use sweet words to advance their heinous agenda. They have brought in a lot of unimaginable things to our politics including extreme tribal agenda.

Nigeria belongs to the north
To change Nigeria military must seize power and suspend the constitution
Even if you give Nigeria to civilian Angel Gabriel there's nothing he can do

Be equitable
Don’t call up a coup

givedemwotowoto:
The Tax Reform Bill Should be Suspended till the outstanding questions are answered, which will uncover the true motive behind the tax reform.

They say the tax reform will help low VAT generating states to earn more VAT share. To make this claim, they must have data to back it up. Can we see the data?

For example, Abia state generated N663 million VAT in August but after revenue share, they received N5 billion naira. Show me data that shows that when companies in Abia pay VAT to Abia and not their headquarters in Lagos, Abia will generate more money that will enable them get more than N5 billion naira in VAT after revenue share.

Why is this important? Because states like Abia are oil producing states in the country. If their oil revenue is distributed to other states, but when those states who benefited from their oil earn high VAT and you want them to keep most of their VAT, it’s not fair to oil producing states.

Lagos currently earns about 56% of VAT nationwide and they claim that VAT reform will make states earn more. No doubt that’s true, but how much increase are we talking about? Don’t be surprised they have already calculated it and they know that after reforms, it won’t move much needle, Lagos may even get more than it gets now after revenue share, but because it sounds nice to the ear that states will earn much more and get more share if companies pay to them instead of Lagos, some people are already supporting what they don’t know much about. Let us see the data you used to come to that conclusion, that’s all we’re asking.

I made a post explaining how the current oil revenue share compares with the proposed VAT revenue share:

https://www.nairaland.com/8284004/vat-reform-how-proposed-vat

We must be vigilant else propagandists use sweet words to advance their heinous agenda. They have brought in a lot of unimaginable things to our politics including extreme tribal agenda.

Nonsense from an Inconsequential Wailer, Please sharap.

blacknp:
Nonsense from an Inconsequential Wailer, Please sharap.

Typical of a notorious BATerian:

Can't engage in meaningful conversation without resorting to insults and abuse because they obviously lack the mental capacity to engage in reasoned discourse.
Tinubu has cooked their brains with drugs, incompetence, cluelessness, and propaganda.

Beware of fake news.

Bobloco:
Typical of a notorious BATerian:

Can't engage in meaningful conversation without resorting to insults and abuse because they obviously lack the mental capacity to engage in reasoned discourse.
Tinubu has cooked their brains with drugs, incompetence, cluelessness, and propaganda.

I am happy u posted it here yourself

Many of u keep saying tinubu should let u go, what if he passed the bill n it get thrashed in d bin?

Rutherford2019:
Nigeria belongs to the north
To change Nigeria military must seize power and suspend the constitution
Even if you give Nigeria to civilian Angel Gabriel there's nothing he can do

Tinubu dey fear North