Ohanaeze, Afenifere, Arewa youths air the views on controversial tax bills

Monday, December 2, 2024 - As the president Bola Tinubu’s Tax Reform Bills continue to attract heated debates across the nation, some socio-cultural organizations in the country have also stated their positions on the matter.

The controversy surrounding the tax bills followed a stiff opposition from stakeholders in the Northern part of the country.

The journey to the now controversial bills began in July 2024 when President Tinubu inaugurated the Presidential Fiscal Policy and Tax Reform Committee, PFPTRC.

The committee subsequently informed Nigerians of the move to replace the National Tax Policy with a more comprehensive “National Fiscal Policy on Fair Taxation, Responsible Borrowing and Sustainable Spending”.

This birthed the four bills, including the Nigeria Tax Bill 2024, the Tax Administration Bill, the Nigeria Revenue Service Establishment Bill, and the Joint Revenue Board Establishment Bill. They are currently before both chambers of the National Assembly for passage.

The contention over the bills, among other things, is the sharing of the Value Added Tax as proposed by the bills.

The principle of sharing 60 per cent of VAT revenue through the derivation principle has continued to spark debates, with the northern elites leading the opposition.

According to some of the northern stakeholders, the VAT arrangement would favour Lagos and a few other Southern states because they host many company headquarters.

DAILY POST reports that the controversy started on October 29 when the Northern Governors and traditional rulers from the region rejected the Tax Reform Bills.

Following their stance, the National Economic Council, NEC, on November 1, during its 145th meeting in Abuja, advised the president to withdraw the bills.

President Tinubu, however, insisted that the bills should be allowed to go through legislative processes.

Despite the opposition, the Tax Reform Bills on Thursday last week passed second reading at the upper legislative chamber.

Airing their own views, some socio-cultural organizations in the country, including Afenifere, Ohanaeze Ndigbo and Arewa Youths Forum, AYF, stated their positions in separate interviews with DAILY POST on Sunday.

Our correspondent reported that while Afenifere and Ohanaeze apparently backed the bills, the Arewa youths expressed mixed feelings.

FG has been unfair to North in terms of distribution of resources – AYF raises concerns

The President General of the AYF, Yerima Shettima told DAILY POST on Sunday that prior to the introduction of the bills, the Federal Government has not been fair to the North in regards to the distribution of national resources.