The Northern Elders Forum (NEF) has strongly opposed the proposed Tax Reform Bills introduced by President Bola Tinubu’s administration, d...
The Northern Elders Forum (NEF) has strongly opposed the proposed Tax Reform Bills introduced by President Bola Tinubu’s administration, describing them as flawed and potentially harmful to the economic realities of Northern Nigeria. In a press statement signed by A.M. Al-Amin Daggash, Chairman of the NEF Board, on Saturday, the forum expressed grave concerns about the bills and urged the government to suspend their implementation immediately.
The statement highlighted the disproportionate impact these reforms could have on the North, citing challenges such as insecurity, poverty, and youth unemployment.
“It is shocking that, after nearly three decades of uninterrupted democratic governance, our country is burdened with a government that seems determined to stifle democratic opinions and freedom of expression,” the forum stated.
The proposed reforms comprise four bills: the Nigeria Tax Bill, the Nigeria Tax Administration Bill, the Nigeria Revenue Service (Establishment) Bill, and the Joint Revenue Board (Establishment) Bill. These bills aim to improve tax collection efficiency and increase government revenue.
However, the NEF argued that the reforms would exacerbate existing economic hardships for the region’s poor and vulnerable populations. “The sudden introduction of these draconian Tax Reform Bills by the federal government will undoubtedly worsen the already harsh economic realities in Northern Nigeria,” the statement read.
The NEF criticized the government for neglecting global best practices in policy formulation, such as engaging stakeholders and establishing a transparent implementation mechanism. “These glaring failures necessitated the timely establishment of a Committee of Experts by the Northern Elders Forum,” the statement added.
The NEF presented several recommendations to address the situation, including the immediate suspension of the reforms and prioritizing dialogue with stakeholders.
They also advised against increasing the Value-Added Tax (VAT) rates, citing the disproportionate burden on Northern communities. Additionally, the forum urged the government to maintain the status quo for institutions like TETFund, NITDA, and NASENI to safeguard their contributions to national development.
The NEF emphasized the importance of ensuring equitable VAT revenue allocation across the country and recommended exempting agricultural goods, livestock, religious organizations, and family inheritance wealth from taxation to alleviate the economic burden on Northern Nigeria. They also suggested replacing terms like “ecclesiastical” with “religious” in the tax bills to foster inclusivity.
The NEF called on the government to adopt a more inclusive and participatory approach to policymaking. “The leadership of the Northern Elders Forum firmly believes that the government’s interests will be best served by engaging in comprehensive dialogue with critical stakeholders to achieve legislative outcomes that respect the rights of all citizens,” the statement concluded.
The forum reaffirmed its commitment to contributing to the development of a transparent and equitable tax administration system that promotes national unity and economic progress.
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