As crisis along regional lines looms over President Bola Tinubu’s four tax reform bills before the National Assembly, some northern leaders have changed strategy to ensure that the North was not hurt by the reform.
With some northern lawmakers locked in a series of meetings on the issue, the League of Northern Democrats, LND, yesterday, inaugurated a technical committee to review contents of the bills clause-by-clause, find out provisions that are injurious to the North and suggest alternatives. The committee has one week to handle the task.
Currently, southern senators, as a bloc, are in support of the tax bills while northern senators, most of who are against the move, are consulting.
Also, while the Senate is proceeding with legislative actions on the bills, the House of Representatives has suspended actions on the matter as Northern Reps raise eye brow.
Looming fresh crisis, dichotomy
On Thursday, Senate President Godswill Akpabio said that the Senate had not suspended legislative action on the four controversial bills, which was contrary to the decision taken in his absence, on Wednesday, when Deputy Senate President Jibrin Barau presided over the plenary.
On Wednesday, Barau said the lawmakers suspended public hearing and legislative work on the bills to allow for wider consultation. He raised a 10-man committee led by Senator Abba Moro to engage with the Attorney General of the Federation AGF, and Justice Minister, Lateef Fagbemi, to address contentious issues in the bills.
However, the Akpabio-led Senate reaffirmed its commitment to advancing the tax reform bills, on Thursday, stressing that no aspect of the legislative process had been suspended or withdrawn.
A few hours later, senators from the six states of the South-South geo-political zone (where Akpabio hails from) under the aegis of South- South Senators’ Forum threw their weight behind the tax reform bills. They passed a vote confidence in Akpabio; and urged South-South governors to synergise with legislators in order to fine tune the bills and be on the same page.
Also, Southern senators on the banner of Nigerian Southern Senators Forum, NSSF, backed the tax reform, which they said “will foster a fair, equitable and more inclusive tax system and therefore deserve the support of all Nigerians.”
In a joint statement by Senator Adetokunbo Abiru, chairman; Senator Victor Umeh, vice chairman; Senator Barinada Mpigi, secretary; Senator Olubiyi Fadeyi, assistant secretary; Senator Asuquo Ekpenyong, publicity secretary; and Senator Kenneth Eze, treasurer, they said: “What is required now is for the Federal Government of Nigeria, through the Tax Committee, to demonstrate, using data, that no sub-national in Nigeria will be at risk of a lower VAT revenues post reforms. This will go a long way in allaying the fears currently being expressed by some states of the federation.”
Northerners commission independent panel
Indeed, worried that the bills could harm the North, if passed as they were,
the League of Northern Democrats raised a technical panel to look at the proposals with a tooth comb.
This was contained in a statement signed by LND’s Spokesman, Dr. Ladan Salihu.
Although names of members of the committee who are said to be mostly lawyers, accountants and experts in related fields were not made public, the panel was given one week to turn in its report.
Salihu said: “Given the current raging concerns and controversies on the Tax Reform Bills currently before our National Assembly, the League of Northern Democrats wishes to inform the Northern public that it has inaugurated a distinguished Technical Committee tasked with reviewing the four tax reform bills clause-by-clause so as to reach an informed position on each clause therein.
“This initiative underscores our commitment to ensuring that laws reflect the principles of justice, equity and prosperity for all Nigerians, with the sole intent to safeguarding the developmental interests of our peoples.
“The committee, composed of dedicated Northern experts in law, public accounting, legislation and academia, has taken to itself one week to conclude a comprehensive review of the bills.
“Their mandate includes identifying provisions that may be injurious or inequitable, proposing necessary amendments, and ensuring that each clause of the bills upholds the constitutional, religious and cultural norms of our people, while promoting national unity and fairness.
“At the conclusion of its assignment, the committee will publicly present its findings in an electronic and tabular format, effectively communicating its recommendations to policymakers, legislators, the media and the Nigerian public.
“The LND assures the public of our confidence in the committee’s ability to produce thorough and well-reasoned recommendations.
“These will aim to maximize benefits for all Nigerians, ensuring that the tax reforms support sustainable development and equitable economic growth across the nation.
“We urge Nigerians to stay tuned for LND’s public presentation, which will provide clear insights into the bills and our proposed policy position.
“The League of Northern Democrats remains steadfast in our mission to advocate for policies that foster justice, prosperity and unity in Northern Nigeria and the country at large.”
Why Reps Suspended Debate Indefinitely
The House of Representatives during the week was expected to commence debate on the tax reform bill but the debate was suspended indefinitely.
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.
Those who rejected the bills include 48 Reps from the North-East, 24 federal lawmakers from Kano and a former Governor of Sokoto State, Senator Aminu Tambuwal, who represents Sokoto South Senatorial District.
The memo suspending the debate dated November 30, 2024 was titled: ‘Rescheduling of Special Session on Tax Reform Bills.’
It read: “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.”
Northern lawmakers mount pressure
A leaked video of the closed-door session of the Green Chamber obtained showed the North-East lawmakers in tense debates against the tax reform bills.
The footage shows 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.”
Like our governors northern lawmakers are not convinced
He continued: “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.
Last week, the Tajudeen Abbas-led 10th House spent over two hours in executive session to forge a common front on the bills only to emerge to announce the continuation of consultation ahead of the debate on the general principles of the bills, which was suspended afterwards.
Tax reform will protect poor people — NOA DG
Meanwhile the Director-General of the National Orientation Agency, NOA, Mallam Lanre Issa-Onilu, has assured that the bills would protect the poor.
Speaking with newsmen in Osogbo at a press briefing held at the NOA office, Issa-Onilu said the bills when passed would eliminate multiple taxation which has become a problem in the country.
Represented by the agency Director, Report Coordination and Improvement, Olubukola Olorunfemi, he said the bill would enhance the ease of doing business and development.
His words: “The tax reform bills are four different bills that seek to bring everything about taxation and administration of tax in Nigeria under four different pieces of legislation. The bills are as follows:The Nigeria Tax Bill. The Nigeria Tax Administration Bill. The Nigeria Revenue Service Establishment Bill and The Joint Revenue Board Establishment Bill.
“The Nigeria Tax Bill basically amalgamated all the existing laws in which provisions for taxation was made. When passed, this bill will lead to the repeal of 11 laws that contain provisions on imposition and collection of taxes.
“The government is working to stop different levels of authority from taxing people for the same thing. Those earning very little will pay little or no taxes, helping them manage their finances better.
“New digital systems are being introduced to make tax payments easier, faster, and more accountable. Tax revenue will be used to improve essential public services like schools, hospitals, and infrastructure, ensuring citizens see the benefits of their contributions.”
The NOA DG spoke in like manner in Kebbi, where he was represented by the Director Documentation, Translation and Publications, Mr. John Bala Asate in Birnin Kebbi during the flag off of the nationwide sensitisation on security, HIV/AIDS, human rights, get-rich-quick syndrome and tax reform bills.
FG’s sensitisation’s late — Kebbi commissioner
However, Alhaji Abdullahi Zuru, Special Adviser, on Communication and Strategy to Kebbi Governor, told the team that the sensitisation on the tax reform bill was late as it should have been done before the presentation of the bill to the tNational Assembly.
Noting that the bills have generated tension across the country, he said: “Our governor and his colleagues have taken a stand on it, we can’t say anything because his stand is final and we will abide by it”.
Zuru urged the Federal Government to borrow a leaf from Kebbi governor, who he said usually consults widely with stakeholders before presenting any bill that has direct bearing on citizens, and not to begin sensitising after presenting it for consideration.
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