The Presidency has refuted allegations that the proposed tax reform bills before the National Assembly would marginalize northern Nigeria or disproportionately benefit Lagos and Rivers states.
In a statement issued on Monday, presidential spokesperson Bayo Onanuga emphasized that the reforms are designed to enhance the quality of life for all Nigerians, especially the underprivileged, while fostering a business-friendly environment through streamlined tax administration.
Onanuga’s remarks came in response to concerns raised by Borno State Governor, Babagana Zulum, who expressed apprehensions that the proposed Value Added Tax (VAT) sharing formula might favor Lagos and Rivers states.
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Describing such fears as baseless, Onanuga said, “The tax reform bills will not make Lagos or Rivers states more affluent than others, nor will they impoverish any region.” He urged Nigerians to reject divisive narratives around the reforms.
He further clarified that the bills do not propose abolishing critical agencies like the Tertiary Education Trust Fund (TETFUND), the National Agency for Science and Engineering Infrastructure (NASENI), or the National Information Technology Development Agency (NITDA).
These institutions, he assured, would continue to function and receive funding through the national budget.
Onanuga reiterated that President Bola Tinubu’s fiscal policy reforms aim to simplify tax processes, reduce burdens on businesses, and foster national development.
However, Former Speaker of the House of Representatives, Yakubu Dogara, has urged Northern leaders to approach the tax reform bills pragmatically, avoiding ethnic or religious biases.
Speaking during a Channels Television town hall on Monday in Abuja, Dogara stressed the importance of leadership that prioritizes development over sentiments.
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“We Northern leaders should remove the cap of ethnicity and religious sentiments and put on the cap of leadership to face the reality which the bills will bring,” he said.
Dogara also criticized senators who claimed there was insufficient consultation on the bills. “How many people do they consult when making laws? Some state laws are written in the living rooms of governors,” he remarked, urging lawmakers to focus on the reforms’ impact rather than their popularity.
On the other hand, Taiwo Oyedele, Chairman of the Presidential Committee on Fiscal and Tax Reforms, explained that the proposed legislation aims to empower states and local governments to boost their revenue generation capacity and achieve financial self-sufficiency.