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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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Alleged Fraud: Late President Buhari’s Minister of Labour, Ngige, Landed in Kuje Prison

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By Yusuf Danjuma Yunusa

On Friday, an Abuja High Court remanded a former Minister of Labour and Employment, Chris Ngige, in Kuje Correctional Centre, pending the determination of his bail application.

The Nigerian Tracker News had earlier reported his arrest by the EFCC on Wednesday.

The Crime’s Commission arraigned Ngige on Friday over alleged N2.2 billion fraud.

The one-time governor of Anambra State and former Minister of Labour and Employment, Ngige, is facing eight count charges of fraud and accepting bribes.

The defendant served as the governor of Anambra under platform of the Peoples Democratic Party (PDP) from May 29, 2003, to March 17, 2006.

He served as minister under former and late President Muhammadu Buhari’s administration from 2015 to 2023.

He is being prosecuted for fraud, which he allegedly committed during his tenure as Minister of Labour and Employment.

The EFCC accused him of awarding seven contracts worth over N366 million “for consultancy, training and supply by the Nigeria Social Insurance Trust Fund (NSITF)” to a company, Cezimo Nigeria Limited, belonging to his associate, Ezebinwa Charles.

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EFCC alleged that Ngige awarded eight contracts worth over N583 million to another company belonging to Mr Charles.

The EFCC also alleged that the defendant used his position to give preferential treatment, awarding eight contracts worth over N362 million to a company, Jeff & Xris Limited, belonging to Nwosu Chukwunwike.

Other companies he awarded contracts include Olde English Consolidated Limited and Shale Atlantic Intercontinental Services Limited, belonging to Uzoma Igbonwa to the sum of N668 million and N161million respectively.

According to the EFCC, these offences violate section 19 of the Corrupt Practices and Other Related Offences Act, 2000.

Also, the anti-graft agency accused Ngige of collecting gratifications from contractors of the NSITF through “his organization, called Senator (Dr Chris Nwabueze Ngige Campaign Organization from Cezimo Nigeria Limited (Zenith Bank Account Number 1011901119).”

The EFCC further alleged that Ngige collected N38.6 million from Cezimo Nigeria Limited, N55 million from Zitacom Nigeria Limited and N26 million from Jeff & Xris Limited.

This according to EFCC contravened section 17(a) of the Corrupt Practices and Other Related Offences Act 2000 and is punishable under section 17(c) of the same Act.

He however pleaded not guilty to all the charges.

The EFCC’s counsel, Sylvanus Tahir, SAN applied for a trial date and urged the court to remand Ngige at Kuje Custodial Centre.

However, counsel to Ngige, Patrick Ikwueto, SAN, noted that they were only informed of the arraignment yesterday and could not file for his bail application.

Ikwueto urged the court to give Ngige a conditional bail on health grounds.

He also attempted to move for an oral bail application for the defendant on self-recognition.
Tahir noted that the court could not be presented with both a written and oral application.

He also noted that Ngige is yet to submit his international passport, which was part of his previous bail conditions.

Ikweto, however, noted that Ngige’s international passport was stolen, and the EFCC has been informed through a letter.

Tahir denied knowledge about the report.

Following their submissions, Justice, Maryam Hassan, ordered his remand at the Kuje Correctional Centre.

Justice Hassan adjourned the case until Monday for hearing and determination of his bail application.

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One Kano Agenda Announces Two-Day Economic and Political Conference

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The One Kano Agenda movement has announced plans to host a two-day economic and political conference in Kano State, reaffirming its commitment to unity, progress, and sustainable development.

In a statement signed by the Director of Media and Publicity, Abubakar Dangambo, the group emphasized that the initiative is designed to bring together stakeholders from across the state to deliberate on strategies that will reposition Kano as a hub of economic growth and political stability.

Commitment to Unity and Progress
According to the statement, One Kano Agenda is rooted in inclusiveness, civic consciousness, and forward-thinking leadership. The movement stressed that its guiding principle remains simple: “Kano’s future must be built by all of us, and benefitted by all of us.”

Day One: Economic Summit
The first day of the conference will feature the Kano Economic Summit, focusing on:
– Repositioning Kano as a regional economic powerhouse
– Strengthening local industries, SMEs, and the commerce sector
– Attracting investment and rebuilding economic confidence
– Learning from successful models such as Lagos State’s long-term development vision
– Mapping out an actionable roadmap for Kano’s economic revival

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Organizers noted that the summit is expected to stimulate critical conversations and partnerships that will support job creation, entrepreneurship, infrastructure development, and broader wealth-creation opportunities for citizens.

Day Two: Political Dialogue
The second day will be dedicated to the Kano Political Dialogue, which will address:
– Strengthening political participation and leadership quality
– Promoting youth involvement and political re-orientation
– Reducing political manipulation and violence
– Encouraging issue-based politics grounded in development
– Building a united, peaceful, and politically stable Kano State

The dialogue aims to reshape mindsets, deepen democratic culture, and ensure that politics in Kano becomes a vehicle for progress rather than division.

Why the Conference Matters
The One Kano Agenda described the gathering as a “needed intervention at a decisive moment in the state’s history.” Kano, it said, stands at a crossroads, and the future desired by its people can only be achieved through deliberate planning, honest dialogue, and collaborative action.

“The conference will provide a platform for meaningful engagement, innovative ideas, and a united voice in charting Kano’s next chapter,” the statement read.

Call to Action
The movement called on professionals, youth, community leaders, religious institutions, business owners, and the general public to participate actively in the initiative.

“Together, we can redefine our future. Together, we are One Kano,” the statement concluded.

 

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Court orders EFCC to apologise to Dubai-based bizman for declaring him wanted, awards damages

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The Federal High Court sitting in Kaduna has ordered the Economic and Financial Crimes Commission (EFCC) to apologise to Dubai-based businessman, Alhaji Rabiu Auwalu Tijjani, for wrongly declaring him wanted, a decision the court described as unlawful, ruling that the Commission violated his fundamental rights.

Delivering judgment, Justice H. Buhari held that the EFCC acted outside the law when it published Tijjani’s name and photograph on its official website without first obtaining a court order or exhausting all available procedural avenues.

The judgment was contained in a certified true copy released by the court on Thursday.

Background of the Case

The Kano-born Tijjani, a renowned gold merchant based in Dubai, had filed a fundamental rights enforcement suit against the EFCC and businessman Mr. Ifeanyi Ezeokoli, following the Commission’s July 11, 2025, online publication declaring him wanted over a disputed commercial transaction.
According to a court documents, the applicant and the second respondent had engaged in a multi-million-dollar gold-related transaction in 2022. While both parties initially reconciled an overpayment of ₦26 million, a later independent audit allegedly revealed a further discrepancy of over $2 million in the applicant’s favour.

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Tijjani reported the matter to the Department of State Services (DSS), and both parties submitted documents for investigation, including engaging independent auditors. However, while the DSS investigation was still ongoing, Ezeokoli petitioned the EFCC.

The EFCC later contacted Tijjani via WhatsApp during its investigation, after which he sent a representative. He told the court that neither he nor his representative was subsequently invited again before the Commission proceeded to publish him as wanted, an action he said damaged his reputation and business interests globally.
Court’s Ruling

Justice Buhari held that although the EFCC has statutory powers to declare a suspect wanted, such action must strictly follow due process, including securing an order of a competent court.

He noted that the arrest warrant obtained by the Commission from a Magistrate’s Court did not authorize a public declaration of the applicant as wanted.
The court also emphasized that the EFCC must not meddle in disputes arising purely from civil or commercial transactions, especially where another security agency, such as the DSS, is already handling the matter.

Citing multiple appellate decisions, the judge stressed that investigative bodies must not be used as tools for settling commercial disagreements or enforcing debt repayment.

Reliefs Granted
The court declared the EFCC’s publication as: Unconstitutional, a violation of Tijjani’s rights to personal liberty and freedom of movement, and a breach of due process.
Justice Buhari therefore ordered the following: The EFCC must immediately remove the publication declaring Tijjani wanted from its website.

A public apology must be issued to the applicant. The EFCC must pay Tijjani ₦5 million as damages.

While the applicant originally sought ₦1.5 billion in damages and other extensive reliefs, the court granted only a portion of the requests.

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