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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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Malami’s Prosecution Not Personal–EFCC Boss

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By Yusuf Danjuma Yunusa

The Chairman of the Economic and Financial Crimes Commission, Ola Olukoyede, has stated that the prosecution of former Attorney-General of the Federation, Abubakar Malami, SAN, is not driven by personal vendetta, clarifying that he inherited the case files upon assuming office.

Olukoyede made the remarks during an interview on Channels Television, addressing public speculation about the anti-graft agency’s decision to bring corruption charges against the former justice minister.

The EFCC boss explained that investigations into Malami’s alleged financial misconduct predated his own appointment and emphasized that the commission is obligated to pursue all credible cases before it, regardless of the individuals involved.

“I have nothing personal against Malami. I met those files on the ground. These are inherited cases,” Olukoyede said. “The EFCC is an institution, and it does not operate on sentiments or personal interests. Once there is a case file and sufficient grounds to proceed, we are obligated to follow due process.”

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He further noted that the EFCC’s mandate requires continuity, adding that changes in leadership do not invalidate ongoing investigations or prosecutions.

“When you come into an office like this, you inherit assets and liabilities. You also inherit investigations. The law does not allow us to pick and choose who to investigate or prosecute based on personal relationships,” he stated.

Malami was arraigned by the EFCC in December 2025 before the Federal High Court in Abuja on charges related to money laundering and financial crimes. He was docked alongside his son, Abubakar Abdulaziz Malami, and his wife, Bashir Asabe.

The trio faces a 16-count charge centering on allegations of unlawful asset acquisition, diversion of public funds, and laundering of proceeds believed to have been obtained corruptly during Malami’s tenure as attorney-general from 2015 to 2023.

Malami has denied all allegations, pleading not guilty in court. His legal team has described the prosecution as politically motivated and vowed to challenge the case.

Olukoyede, however, dismissed claims of a political witch-hunt, reiterating that the EFCC’s actions are strictly evidence-based and governed by the rule of law.

“We do not prosecute people because of politics. We prosecute cases. The courts are there to determine innocence or guilt,” he said.

The EFCC chairman assured the public of the commission’s commitment to transparency and accountability, pledging that all suspects would be treated fairly under the law, irrespective of their status or previous office.

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Atiku Condemns Activist’s Arrest, Warns of Escalating Crackdown on Dissent

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By Yusuf Danjuma Yunusa

In a sharp rebuke of the current administration, former Vice President Atiku Abubakar has condemned the arrest of young activist Abubakar Salim Musa, framing it as a perilous escalation in the suppression of dissent under President Bola Tinubu.

Atiku’s statement on Monday followed a report by Amnesty International Nigeria, which revealed that Musa was arbitrarily arrested on Sunday. The human rights organization declared the detention unlawful and emblematic of a growing pattern of repression targeting critics of the government’s handling of the nation’s worsening security crisis.

According to the former presidential candidate, Musa’s only offence was his consistent and legitimate commentary on insecurity—a right enshrined in the Nigerian Constitution. “Rather than address these serious concerns,” Atiku said, “the government’s response has been to arrest him and subject him to what Amnesty describes as ‘bogus charges and a sham trial.’”

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He warned that the activist’s ordeal reflects a broader, alarming trend. Atiku noted that journalists, schoolchildren, entertainers, and National Youth Service Corps members have previously faced harassment, assault, or detention for criticizing the president or his family.

“This dangerous trend undermines the very foundations of democracy, which rest on the protection of fundamental human rights and freedom of expression,” Atiku asserted. “Nigeria cannot claim to be part of the free world while its citizens are routinely arrested, assaulted, and intimidated for voicing criticism of their government.”

The condemnation comes as Nigeria approaches a critical general election period. Atiku cautioned that such repression creates an atmosphere of fear, making genuine political participation impossible for citizens and opposition groups alike.

He called on the Tinubu administration to immediately and unconditionally release Abubakar Salim Musa and all others detained for exercising their constitutional rights. Furthermore, he urged the government to halt what he termed a systematic campaign of intimidation against critics, journalists, and opposition voices.

Extending his appeal beyond Nigeria’s borders, Atiku urged the international community, particularly nations and organizations championing democracy, to hold the Tinubu regime accountable and demand an end to these violations. The statement positions the activist’s arrest as a focal point in escalating tensions over civic space and democratic freedoms in the country.

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Ganduje Expresses Displeasure Over Kwankwaso’s Remarks, Welcomes Abba Yusuf’s Anticipated Return to APC 

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The former Governor of Kano State and former National Chairman of the All Progressives Congress (APC), Dr. Abdullahi Umar Ganduje, has expressed strong dissatisfaction over comments made about him by Senator Rabiu Musa Kwankwaso, describing the remarks as inappropriate and deeply displeasing.

This was disclosed by the Director-General of the National Productivity Centre, Dr. Baffa Babba Dan’agundi,nim, while speaking with journalists. According to him, Dr. Ganduje personally conveyed his displeasure over the matter.

“Dr. Ganduje told me clearly that he was not happy at all with the comments made by Senator Kwankwaso against him,” Dan’agundi stated.

Dr. Dan’agundi explained that Ganduje accused Senator Kwankwaso of referring to him as“Maikyi” while addressing his supporters. The remark was allegedly made at a time when Kwankwaso was also accusing the Kano State Governor, His Excellency Alhaji Abba Kabir Yusuf, of planning to take control of government institutions to use against political opponents.

“Ganduje made it clear to me that such statements were unnecessary, especially at a time when Kano needs unity, peace, and collective progress,” Dan’agundi said.

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According to him, Ganduje emphasized that the anticipated return of Governor Abba Kabir Yusuf to the APC should have been an opportunity for reconciliation and cooperation among political leaders in the state.

“In Ganduje’s view, the return of the Kano State Governor to the APC should serve as a platform for all of them to come together, put aside differences, and focus on moving Kano State forward,” Dan’agundi added.

Dr. Abdullahi Umar Ganduje also noted that, given their age and political experience, both he and Senator Kwankwaso should now play the role of elder statesmen rather than remain engaged in political rivalry.

“He believes there should be no reason for continued conflict, as both of them have reached a stage where they no longer have personal political ambitions, having completed the constitutional limits of elective offices,” Dan’agundi quoted Ganduje as saying.

Speaking on the reported move by Governor Abba Kabir Yusuf to rejoin the APC, Dr. Dan’agundi described the development as a source of great joy and encouragement for the party in Kano State.

“It is a thing of joy for us. All APC leaders, stakeholders, and supporters in Kano State are happy and excited about the Governor’s return, and we are fully prepared to give him maximum support and cooperation,” he said.

Dr. Dan’agundi further revealed that preparations for officially welcoming the Governor into the APC are already at an advanced stage.

“At the national level, discussions have progressed significantly, and consultations are also ongoing at the state level,” he explained.

He attributed the temporary delay in finalizing arrangements to the Umrah pilgrimage undertaken by the Kano State APC Chairman, Alhaji Abdullahi Abbas, as well as the absence of the party’s leader in Kano State, Dr. Abdullahi Umar Ganduje, who is currently outside the country.

“Once they return, a special meeting will be held with His Excellency Governor Abba Kabir Yusuf and his delegation to conclude the process,” Dan’agundi assured.

He concluded by praying for peace and unity in Kano State.

“We pray that Governor Abba’s entry into the APC will bring lasting peace, progress, and development to Kano State and its people. We also pray that Senator Kwankwaso will appreciate the importance of unity and development and join hands with others for the greater good of Kano,” Dan’agundi said.

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