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President’s Controversial Tax Bills Split N’Assembly

Published

11 months ago

November 11, 2024

Editor

Members of the National Assembly are currently divided over the controversial Tax Reform Bills introduced by President Bola Tinubu-led administration.

The President had, on September 3, transmitted four tax reform bills to the National Assembly for consideration.

The reforms stemmed from the recommendations of the Presidential Committee on Fiscal and Tax Reforms headed by Taiwo Oyedele, for the review of existing tax laws.

The bills are the Nigeria Tax Bill 2024, which is expected to provide the fiscal framework for taxation in the country, and the Tax Administration Bill, which will provide a clear and concise legal framework for all taxes in the country and reduce disputes.

Others are the Nigeria Revenue Service Establishment Bill, which will repeal the Federal Inland Revenue Service Act and establish the Nigeria Revenue Service, and the Joint Revenue Board Establishment Bill, which will create a tax tribunal and a tax ombudsman.

At the heart of the debate is the proposed shift to a derivation-based model for Value Added Tax distribution, which would allocate tax revenue to the states where goods and services are consumed, rather than where companies have their headquarters.

The bills were rejected by the 19 northern governors and traditional rulers.

The governors, under the aegis of the Northern Governors’ Forum, rejected the new derivation-based model for VAT distribution, insisting that the contents of the bills did not align with the interests of the North and other subnational entities.

Similarly, the National Economic Council, headed by Vice-President Kashim Shettima, recommended the bills’ withdrawal to allow for wider consultations and consensus building.

While the bills have not been presented for a second reading where the principles of the bills will be debated, some lawmakers have expressed divergent views.

Senator Ali Ndume (APC, Borno South) had in a television interview opposed the bills and vowed to mobilise other lawmakers from the north against them.

Speaking with The PUNCH, Senator Ogoshi Onawo of Nasarawa South Senatorial District kicked against the bills, saying it was unfair for the government to continue imposing taxes on Nigerians who were battling economic hardship.

He berated the Tinubu-led administration for being insensitive to the plights of Nigerians, insisting that the tax reforms would worsen the hardship in the country.

Onawo called on Tinubu to heed the advice of NEC and either withdraw the bills or rework them to capture the recommendations of Nigerians.

“I think the timing of the bills is not right because of the economic hardship being experienced by all Nigerian citizens. The bill is just to impose more hardship on Nigerians. Generally, all over the world, when tax is imposed on an economy, it is the consumers that bear the brunt.

“Tax generally is a good thing if the government is responsive enough to the yearnings of the people. There is no point for me paying tax when the roads are bad, and there are no basic social amenities, and if the government is not responsive enough to provide those things that I’m supposed to enjoy and I’m paying tax on, I think it is unfair for the government to be taxing people left, right and centre.

“Every Nigerian is paying multiple taxes now on so many things, if those multiple taxes can be streamlined and made affordable for Nigerians to live a comfortable life, I don’t think tax is a bad idea, but when the government is collecting tax and the people are not seeing the effect of the tax, then I think it needs a rethink,” the lawmaker said.

A senator from the North-Central, who spoke on condition of anonymity, said the bills were still under consideration, but assured that Nigerians would have a say in their outcome.

The lawmaker said, “We will do justice to the bills; we will allow Nigerians to have a say and take part in the process and a true reflection on of our constituents that will prevail.”

However, lawmakers from the South-West dismissed fears over possible marginalisation of any region in the implementation of a new tax regime.

Defending the bills, a House of Representative member from the Ikorodu Federal Constituency, Lagos State, Babajimi Benson, said a rejig of tax management strategies had become imperative because the old models did not yield much in recent years.

He said the bills reflected a pragmatic approach by the Tinubu government to address longstanding challenges in the tax administration.

According to him, not all the governors are opposed to the bills, adding that some merely asked for clarifications in the proposals by the President.

He pledged the readiness of the Green Chamber to thoroughly scrutinise the bills before passage.

“This reform is designed to transform our tax system, providing exemptions to the most vulnerable businesses and individuals, eliminating the burden of multiple taxation, and enhancing the effective mobilisation and management of the nation’s revenue.

“Regarding the derivation policy, which mandates that a portion of revenue generated within a state is returned to that state, I believe that no state will be disadvantaged. Significant revenue streams come from various states across the federation, including Kano, Kaduna, Rivers, and Lagos.

“To ensure fairness, the proposed five per cent set aside by the Federal Government could be used as an equalisation transfer to prevent any state from receiving less revenue than it would have under the current distribution formula”, Benson said.

In his contribution, a federal lawmaker from Osun State, Oluwole Oke, said controversies trailing the bills were not unexpected, adding that the National Assembly would do its part and subject them to public inputs.

He reminded those opposing the bills not to forget that “tax bills/laws usually stem from tax design which is based on the peculiarities of a society and several other factors.”

“A bill is like raw gold at the goldsmith workshop. The governors are bound to have their opinions and positions perhaps based on well-researched positions.

“We will all meet at the public hearing and in the committee of the whole vis-a-vis voting and fortunately, it’s my area of specialisation,” he said.

When The PUNCH reached out to Oyedele and asked if there were plans to engage Nigerians and the governors on the bills, he said, “Yes, we plan for further engagements and some are ongoing.”

Meanwhile, debate on the bills is expected to dominate proceedings in both chambers of the National Assembly when it resumes from its one-week oversight recess on November 19.
PUNCH

News

Two Schoolchildren Electrocuted In Anambra During Rainfall

Published

7 hours ago

October 14, 2025

Editor

Tragedy struck in Nnewichi, Nnewi North Local Government Area of Anambra State on Monday when two schoolchildren were electrocuted while taking shelter from the rain at a roadside shop.

The incident, which occurred at St. Peter’s Claver Junction, threw the community into mourning.

Eyewitnesses and CCTV footage revealed that several pupils had gathered at the shop to escape the downpour when the tragedy happened.

A resident near the scene, who pleaded anonymity, recounted, “Several pupils were taking shelter at the roadside shop during the heavy rainfall. But tragedy struck when the wet bodies of two of the schoolchildren came in contact with a live metal, and they were instantly electrocuted.”

According to witnesses, panic spread as the children collapsed instantly, while others narrowly escaped.

The shop owner was said to have not yet opened for business when the incident occurred.

“It took the intervention of some security officers and passers-by, who used protective gloves to evacuate the bodies,” another eyewitness said.

The incident came just days after a similar tragedy in the same Nnewi area, where a woman was swept away by floodwaters in the Uruagu community.

When contacted, the Anambra State Police Command spokesperson, SP Tochukwu Ikenga, confirmed the incident, noting that an investigation was underway.

“The facts are not clear yet, but the divisional police officer has been directed to find out the details for a comprehensive report,” Ikenga stated.

The latest tragedy adds to recent cases of electrocution in the state.

In May, a three-year-old girl was killed in Awka after stepping on a live cable belonging to the Enugu Electricity Distribution Company.

Residents had reportedly alerted officials about the fallen high-tension wire, but it was not repaired until after the fatal incident.

A resident, identified as Uche, said, “The cable fell on Friday and wasn’t fixed until Sunday, after it had electrocuted the girl. The officials even requested ₦30,000 to fix it but didn’t show up until it was too late.”

The repeated incidents have reignited public concern over poor electricity infrastructure and safety negligence in Anambra communities.

News

Oyo Orders Traders To Vacate Airport Road In Two Weeks

Published

7 hours ago

October 14, 2025

Editor

The Oyo State Government has issued a two-week ultimatum to traders operating along Airport Road, Old Ife Road, and Onipepeye areas of Ibadan to vacate the roadside or face enforcement action.

The directive was detailed in a Tuesday statement released by the Chief Press Secretary to Governor Seyi Makinde, Dr. Suleimon Olanrewaju.

He warned that the state would no longer tolerate roadside trading or the placement of container shops on drainage.

According to the statement, “the government has provided markets and other designated spaces for trading across the city, making it unnecessary and unsafe for traders to occupy roadsides.”

The government said the action was necessary to safeguard lives, prevent environmental hazards, and protect public infrastructure.

It also warned that trading on walkways and blocking drainage channels increases the risk of flooding and undermines the state’s efforts to promote tourism.

“The government has a duty to protect citizens from all manner of danger,” the statement said, noting that roadside trading exposes people to serious risks.

The ultimatum expires on October 27, after which enforcement will begin.

The government said “non-compliance could lead to the confiscation of goods and prosecution of offenders.”

It appealed for cooperation from residents to ensure a cleaner, safer, and more sustainable environment in the state.

News

Admissions: Mathematics No Longer Compulsory For Arts Students, Says FG

Published

7 hours ago

October 14, 2025

Editor

Nigerian senior secondary school students in arts and humanities will no longer be required to present a credit in mathematics in their Senior School Certificate Examination, organised by the West African Examination Council and National Examination Council, as a condition for admission to universities and polytechnics, the Federal Ministry of Education said on Tuesday.

For years, admission seekers in arts and humanities, like their contemporaries in sciences and social sciences, have been mandated to have five credits, including mathematics and English language, to secure admission into higher institutions.

“The revised National Guidelines for Entry Requirements into Nigerian Tertiary Institutions are designed to remove barriers while maintaining academic standards.

“The new framework applies to universities, polytechnics, colleges of education, and Innovation Enterprise Academies across the country as follows:

“Universities: Minimum of five (5) credit passes in relevant subjects, including English Language, obtained in not more than two sittings. Mathematics is mandatory for Science, Technology, and Social Science courses.

“Polytechnics (ND Level): Minimum of four (4) credit passes in relevant subjects, including English Language for non-science courses and Mathematics for science-related programs.

“Polytechnics (HND Level): Minimum of five (5) credit passes in relevant subjects, including English Language and Mathematics.

“Colleges of Education (NCE Level): Minimum of four (4) credit passes in relevant subjects, with English Language mandatory for Arts and Social Science courses, and Mathematics required for Science, Vocational, and Technical programs,” a statement by the FME’s spokesperson, Folasade Boriowo, said.

An education analyst, Ayodamola Oluwatoyin, who spoke to our correspondent in Abuja, hailed the reform.

“This is a brilliant reform, which we hope will open the doors and improve the ease of admissions into tertiary institutions for more seekers.”

The Minister of Education, Dr Tunji Alausa, described the reform as a deliberate effort to expand access to tertiary education.

The ministry also approved a comprehensive reform of admission entry requirements into all tertiary institutions across the country, increasing the average annual intake from about 700,000 to one million students.

According to the government, the new policy aims to expand access to higher education and create opportunities for an additional 250,000 to 300,000 admissions each year.

The minister explained that the reform became necessary after years of limited access, which left many qualified candidates unable to secure admission despite meeting the required standards.

“Every year, over two million candidates sit for the Unified Tertiary Matriculation Examination (UTME), yet only about 700,000 gain admission. This imbalance is not due to lack of ability but outdated and overly stringent entry requirements that must give way to fairness and opportunity.

“The reform is a deliberate effort to expand access to tertiary education, creating opportunities for an additional 250,000 to 300,000 students each year. It reflects our commitment to ensuring that every Nigerian youth has a fair chance to learn, grow, and succeed—putting the Renewed Hope Agenda into action,’’ he said.

The revised National Guidelines for Entry Requirements into Nigerian Tertiary Institutions are designed to remove barriers while maintaining academic standards.