After months of standoff between the House of Representatives and the Presidency over President Bola Tinubu’s tax reform bills, progress is being made towards debating the proposed legislation.
On September 3, 2024, Tinubu transmitted four tax reform bills to the National Assembly, including the Nigeria Tax Bill 2024, the Tax Administration Bill, the Nigeria Revenue Service Establishment Bill, and the Joint Revenue Board Establishment Bill.
These bills are aimed at reshaping the country’s taxation framework, but have faced strong opposition, particularly from state governors who fear the reforms could affect their ability to meet the N70,000 minimum wage.
Prominent northern figures, including former Vice President Atiku Abubakar and Governors Bala Mohammed and Babagana Zulum, criticized certain clauses, urging broader consultations.
While the Senate has already debated the bills, members of the House of Representatives, especially from the north, have opposed President Tinubu’s failure to heed calls for further consultation by the National Executive Council.
In a dramatic twist, however, state governors approved a revised VAT formula. On Tuesday, after the National Assembly adjourned for the funeral of Deputy Chief Whip Adewunmi Onanuga, regional and state caucus leaders met to discuss the reforms.
Speaker Tajudeen Abbas assured them that the bills would be transparently processed and that contentious clauses would be reviewed at the public hearing stage.
The bills are expected to be debated and passed for a second reading soon, with input from stakeholders, including the Nigeria Governors Forum, being incorporated.
