fbpx
Connect with us

News

Proposed Tax Reform Bills Not Against The North -Presidency

Published

2 months ago

on

 

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.

#

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.

 

 

Related Topics:

News

Niger Republic’s Military Leader’s Allegations Against Nigeria Are Baseless – FG

Published

30 minutes ago

on

December 26, 2024

By

Senator Bola Ahamd Tinubu

 

The Federal Government of Nigeria has strongly rejected allegations made in a viral video by the military leader of Niger Republic, General Abdourahamane Tchiani, claiming non-existent collusion between Nigeria and France to destabilize his country.

In a press release issued on Thursday, December 26, 2024, the Nigerian government described these claims as baseless and existing solely in the realm of imagination. The statement emphasized that Nigeria has never engaged in any overt or covert alliance with France—or any other country—to sponsor terrorist attacks or destabilize Niger Republic in the wake of the undemocratic change in the leadership of that country.

President Bola Ahmed Tinubu (GCFR), as Chairman of ECOWAS, has demonstrated exemplary leadership by keeping the doors of the sub-regional body open to re-engaging Niger Republic despite the political situation in the country. Nigeria remains committed to fostering peace, harmony, and historic diplomatic ties with Niger.

The Nigerian Armed Forces, in collaboration with partners in the Multinational Joint Task Force, are succeeding in curbing terrorism within the region. It is, therefore, absurd to suggest that Nigeria would conspire with any foreign power to undermine the peace and security of a neighboring country.

The press release further stated that neither the Nigerian government nor any of its officials has ever been involved in arming or supporting any terror group to attack Niger Republic. Additionally, no part of Nigeria has been ceded to any foreign power for subversive operations in Niger Republic. The government reiterated its full support for senior Nigerian officials’ untiring commitment to fostering peace and security between Nigeria and Niger and their efforts towards stronger cooperation in the ECOWAS region.

#

Nigeria has a long-standing tradition of safeguarding its sovereignty and territorial integrity. Unlike some nations, Nigeria has never permitted foreign powers to establish military bases on its soil, demonstrating its commitment to national independence and regional leadership.

The accusation that Nigeria seeks to sabotage Niger’s pipelines and agriculture was also dismissed as unfounded and counterproductive. Nigeria has consistently supported Niger’s economic development through joint energy and infrastructure projects, such as the Trans-Saharan Gas Pipeline and the Kano-Maradi Railway Project. It is illogical to suggest that Nigeria would undermine initiatives it has actively promoted.

The claims about the alleged establishment of a so-called Lakurawa terrorist headquarters in Sokoto State, purportedly orchestrated by Nigeria in collaboration with France, were also refuted. Nigeria has been a regional leader in combating terrorism, dedicating significant resources and lives to ensure stability in the Lake Chad Basin and beyond.

Recently, the Nigerian military launched Operation Forest Sanity III, specifically addressing the Lakurawa threat, code-named Operation Chase Lakurawa Out. The government questioned how it could be accused of harboring the same group it is actively fighting against. These accusations lack credible evidence and seem to be part of a broader attempt to deflect attention from Niger’s internal challenges.

The public was urged to disregard these false allegations. Those making such claims, particularly the military leader in Niger Republic, must provide credible evidence to substantiate them. Any attempt to blackmail Nigeria over ECOWAS’s principled stance against the unconstitutional seizure of power in Niger Republic is both disingenuous and doomed to fail.

In conclusion, the press release stated that President Tchiani’s allegations are not only unfounded but also a dangerous attempt to divert attention from his administration’s shortcomings. Nigeria remains committed to fostering regional stability and will continue to lead efforts to address terrorism and other transnational challenges. The government urged Niger to focus on constructive dialogue and collaboration rather than peddling baseless accusations.

s

Continue Reading

News

Gwale Old Boys Association (GOBA) Announces Annual General Meeting and Election of National Executives

Published

2 hours ago

on

December 26, 2024

By

Gwale Old Boys Association (GOBA) Announces Annual General Meeting and Election of National Executives

The National President of the Gwale Old Boys Association (GOBA), Engr. Hassan Abdulkadir, on behalf of the national officials, has cordially invited members to the Annual General Meeting (AGM) and the General Election of the National Executives Council. The event is scheduled to take place on Saturday, December 28, 2024, at 11:00 AM prompt at the Murtala Mahd Hall, GGSS Gwale.

In a statement signed by the National Publicity Secretary, Bashir Habib Yahya, the association emphasized the importance of the AGM and the election in shaping the future of GOBA. The meeting will provide an opportunity for members to engage in discussions, review the association’s activities, and elect new leaders who will steer the association towards achieving its goals.

#

The AGM is expected to attract a large turnout of members, including former students of Government Unity College, Birnin Kudu, Jigawa State, one of the renowned secondary schools in Northern Nigeria. The event will serve as a platform for networking, sharing experiences, and fostering a sense of community among the alumni.

Members are encouraged to attend the meeting promptly and participate actively in the proceedings. The election of the new national executives is a critical aspect of the AGM, as it will determine the leadership that will guide the association in the coming years.

 

Continue Reading

News

Adnan Mukhtar & Associates,Gwarzo Foundation to Host Annual Public Lecture on Social Media’s Role in Nation-Building

Published

5 hours ago

on

December 26, 2024

By

 

Adnan Mukhtar & Associates, in collaboration with the Professor Adamu Abubakar Gwarzo Foundation, is set to host a one-day Professor Adamu Abubakar Gwarzo Annual Public Lecture. This year’s theme is “The Role of Social Media in Nation-Building,” in commemoration of the birthday of Professor Adamu Abubakar Gwarzo, the President of MAAUN Group of Universities.

The event is scheduled for Monday, December 30, 2024, at 11:00 AM and will be held at the Aminu Kano Centre for Democratic Research and Training, Mambayya House.

The guest speaker for the lecture will be Mallam Yushau A. Shuaib, a renowned public relations expert and social media influencer. The occasion will be chaired by Dr. Sule Yau Sule from the Department of Mass Communication at Bayero University, Kano.

Invited guests include distinguished personalities such as Dr. Musa Abdullahi Sufi, Dr. Bala Muhammad Tukur, and Amina Ibrahim Idris.

The lecture aims to explore the significant impact of social media on nation-building, emphasizing how digital platforms can be harnessed to foster unity, drive development, and promote positive change within communities.

This annual lecture is a key event that brings together scholars, practitioners, and the general public to engage in insightful discussions and share ideas on leveraging social media for societal advancement.

For further information or to confirm attendance, please contact the organizers at 08033255841 or 09098150869.

 

#
Continue Reading

Trending