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Proposed Tax Reform Bills Not Against The North -Presidency

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Governors of 19 Northern States of Nigeria, under the platform of the Northern Governors’ Forum, at their meeting on Monday, October 28, 2024, expressed their opposition to the new derivation-based model for Value-Added Tax (VAT) distribution in the new tax reform bills before the National Assembly.

Chairman of the forum, Governor Muhammed Inuwa Yahaya of Gombe State, read the communiqué.

The Northern Governors’ Forum meeting also had traditional rulers from the region, led by the Sultan of Sokoto, His Eminence Muhammadu Sa’ad Abubakar III, in attendance.

While we commend the Governors and traditional rulers for supporting President Bola Tinubu over the success recorded in addressing the country’s security challenges, we consider it necessary to address the misunderstandings and misgivings around the tax reform already embarked upon by the administration.

President Tinubu and the Federal Executive Council recently endorsed new policy initiatives aimed at streamlining Nigeria’s tax administration processes, enhancing efficiency and eliminating redundancies across the nation’s tax operations.

These reforms emerged after an extensive review of existing tax laws. The National Assembly is considering four executive bills designed to transform and modernise Nigeria’s tax landscape.

First is the Nigeria Tax Bill, which aims to eliminate unintended multiple taxation and make Nigeria’s economy more competitive by simplifying tax obligations for businesses and individuals nationwide.

Second, the Nigeria Tax Administration Bill (NTAB) proposes new rules governing the administration of all taxes in the country. Its objective is to harmonise tax administrative processes across federal, state and local jurisdictions for ease of compliance for taxpayers in all parts of the country.

Third, the Nigeria Revenue Service (Establishment) Bill seeks to rename the Federal Inland Revenue Service (FIRS) as the Nigeria Revenue Service (NRS) to better reflect the mandate of the Service as the revenue agency for the entire federation, not just the Federal Government.

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Fourth, the Joint Revenue Board Establishment Bill proposes the creation of a Joint Revenue Board to replace the Joint Tax Board, covering federal and all states’ tax authorities.

The fourth bill also suggests establishing the Office of Tax Ombudsman under the Joint Revenue Board, which would serve as a complaint resolution body for taxpayers.

It is instructive to note that these proposed laws will not increase the number of taxes currently in operation. Instead, they are designed to optimise and simplify existing tax frameworks.

The tax rates or percentages will remain the same under these reforms, as they focus on ensuring a more equitable distribution of tax obligations without adding to the burden on Nigerians.

The reforms will not lead to job losses. On the contrary, they are structured to stimulate new avenues for job creation by supporting a dynamic, growth-oriented economy.

Importantly, these laws will not absorb or eliminate the duties of any existing department, agency, or ministry. Instead, they aim to harmonise revenue collection and administration across the federation to ensure efficiency and cooperation.

At the moment, tax administration lacks coordination among federal, state, and local tax authorities, often resulting in overlapping responsibilities, confusion, and inefficiency. Without reform, this inefficiency will persist.

The proposed laws aim to coordinate efforts between different tiers of government, resulting in better tax resource management and greater clarity for taxpayers.

Under existing laws, taxes like Company Income Tax (CIT), Personal Income Tax (PIT), Capital Gains Tax (CGT), Petroleum Profits Tax (PPT), Tertiary Education Tax (TET), Value-Added Tax (VAT), and other taxing provisions in numerous laws are administered separately, with individual legislative frameworks.

The proposed reforms seek to consolidate these multiple taxes, integrating CIT, PIT, CGT, VAT, PPT, and excise duties into a unified structure to reduce administrative fragmentation.

On the proposed derivation-based VAT distribution model, which the Northern Governors oppose, it must be stressed that the new proposal, as enunciated in the Bill, is designed to create a fairer system.

The current model for distributing VAT is based on where the tax is remitted rather than where goods and services are supplied or consumed. The ongoing tax reform seeks to correct the inherent inequity in the current derivation model as a basis for distributing VAT revenue.

The new proposal before the National Assembly outlines a different form of derivation which considers the place of supply or consumption for relevant goods and services. This means that states in the Northern region that produce the food we eat should not lose out just because their products are VAT-exempt or consumed in other states.

In a statement by the special adviser to the President on Information and strategy Bayo Onanuga said the reforms are critical to improving the lives of Nigerians and were not put forward by President Tinubu to undermine any part of the country. There is no better time than now for the National Assembly to give due consideration to these bills that will overhaul our tax systems and create the revenue all the tiers of government require to fund the development our country and people urgently need.

 

 

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Police Reform Project III: Kano commits to citizen-led security approach

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Kano State Government says it has renewed its commitment to a citizen-led security approach as part of ongoing efforts to strengthen community policing and improve public safety across the state.

Mrs Maimuna Sherif, Special Adviser on Community Policing to Gov. Abba Yusuf, stated this at the stakeholders meeting on improving police community relations organised by the Voluntary Aid Initiative (VAI) on Friday in Kano.

Sherif said the administration was deepening its engagement with community structures to boost intelligence gathering and enhance collaboration between residents and security agencies.

She said Kano’s large population and social diversity require a policing model that empowers citizens as active partners in the state’s security architecture.

“Our communities know the environment, they know the people, and their support provides critical information that helps security agencies identify criminal hideouts,” Sherif said.

The special adviser also disclosed that the government was finalising arrangements to establish a Security Trust Fund to mobilise resources from the public and private sectors to support security operations.

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Speaking earlier, the Executive Director of VAI, Mr Musa Aboki, said the Police Reform Project builds on earlier phases implemented in Bauchi and Zamfara, with similar interventions underway in two South-East states.

Aboki explained that Phase III features community scorecard assessments, intra-dialogue sessions and follow-up engagements aimed at addressing gaps in trust between the police and the public.

He said previous assessments revealed concerns such as bribery, slow police response, confidentiality issues, traffic indiscipline among some officers and reluctance by residents to volunteer intelligence.

According to him, many of the challenges undermining community policing are shared responsibilities between citizens and the police.

He added that gaps in early warning and early response systems remained key concerns, stressing the need for timely reporting of threats of violence or criminal activity.

Speaking also, the Police Public Relations Officer, (PPRO), Kano State Police Command, CSP Abdullahi Kiyawa, said that the Police would partner with the Voluntary Aid Initiative (VAI) to strengthen police-community relations and promote mutual accountability across the state.

He said the collaboration was part of the Police Reform Initiative Project aimed at enhancing trust and cooperation between security agencies and the public.

Represented by ASP , Muhammad Jawad, explained that the initiative involved a series of meetings and engagements with communities in Rano and Gwale Local Government Areas, focusing on improving understanding and collaboration between the police and residents.

The Chairman of the Police Community Relations Committee (PCRC) in Dorayi Babba community of Gwale Local Government Area, Alhaji Auwal Garba, stated that fewer than 500,000 police officers were responsible for securing more than 220 million Nigerians.

He said the disparity highlighted the importance of community involvement in maintaining law and order.

“Community policing enables citizens to participate in the security structure. Through vigilantes and early reporting of suspicious activities, the community becomes a partner in sustaining peace,” he said.

Garba reaffirmed commitment of the PCRC to work with the government, security agencies and civil society groups to strengthen community policing initiatives across the state

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Ganduje Shelves Attempt To Establish Independent Hisbah – Dan Agundi

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The attempt for the establishment of an independent Hisbah group in Kano State has been withdrawn and suspended – Baffa Babba Dan Agundi.

This was contained in a statement issued and signed by Alhaji Baffa Babba Dan Agundi, who said the withdrawal of the attempt was followed by a meeting with all stakeholders across the 44 local governments held at the Tinubu campaign office on Tuesday, the 16th of December.

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The statement added that the decision was following widespread outcry that trailed the attempt to establish the independent Hisbah group and the intervention of stakeholders, especially the Kano State Government and Department of State Services, as well as the former Executive Governor of Kano State, Dr. Abdullahi Ganduje, to ensure peace and stability.

The statement revealed that the meeting resolved to suspend the establishment of an independent Hisbah Fisabilillah to allow the Kano State Government to look into the issues amicably.

The statement maintained that the meeting also reiterated respect for the constituted authority and resolved to cooperate with security agencies for the maintenance of law and order as well as safety in Kano State and the country at large.

 

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ICPC Confirms Receipt of Dangote Petition Against NMDPRA CEO, Vows to Launch Investigation on the Matter

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By Yusuf Danjuma Yunusa

The Independent Corrupt Practices and Other Related Offences Commission (ICPC) has acknowledged the receipt of a formal petition filed by billionaire industrialist Aliko Dangote against Farouk Ahmed, the Chief Executive Officer of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).

In the petition, Dangote alleges that Ahmed engaged in economic sabotage and corrupt practices, including the purported use of $5 million in public funds to cover his children’s tuition at Swiss schools.

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The petition, submitted earlier this week, calls for an investigation into Ahmed’s conduct and alleged misuse of office. The ICPC has confirmed that the matter is under review in line with standard procedural protocols, and will investigate in due time.

“The Independent Corrupt Practices and Other Related Offences Commission (ICPC) writes to confirm that it received a formal petition today Tuesday 16th December, 2025 from Alhaji Aliko Dangote through his lawyer. The petition is against the CEO of the NMDPRA, Alhaji Farouk Ahmed.

“The ICPC wishes to state that the petition will be duly investigated,” said a statement by ICPC spokesman, John Odey.

No further statements have been released by either the ICPC or NMDPRA regarding the allegations at this time.

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