Tax Reform Bills: Tinubu under fire as group lambasts Ndume

The four tax reform bills proposed by President Bola Tinubu are stoking anger in Northern Nigeria, with groups in the region demanding the suspension of passage of the legislation.

The bills – the Joint Revenue Board of Nigeria (Establishment) Bill, 2024 -SB.583; the Nigeria Revenue Service (Establishment) Bill, 2024- SB.584; the Nigeria Tax Administration Bill, 2024-SB.585; and the Nigeria Tax Bill, 2024 – SB.586 – are currently before the National Assembly.

The executive bills, presented by the Senate Leader, Opeyemi Bamidele, during the Senate plenary on Thursday, passed second reading with the Senate President, Godswill Akpabio, presiding,

Some experts have said majority of those criticising the Bills have not read their provisions and were only amplifying falsehoods being circulated by uninformed interest groups.

Godswill Akpabio, Nigeria’s Senate President.

After the debate on the general principles of the bills, the lawmakers read them for the second time and referred them to the Senate Committee of Finance, headed by Sani Musa (APC Niger state), for further legislative action.

The bills passed the second reading a day after Taiwo Oyedele, chairperson of the Presidential Committee on Fiscal Policy and Tax Reforms, and other officials appeared before the Senate on Tuesday to explain their purpose.

The officials’ appearance before the Senate plenary, which was presided over by the Deputy Senate President, Barau Jibrin, angered some senators, including Ali Ndume (APC-Borno South).

On Friday, some clerics condemned the tax reform bill during the Friday Jumm’at congregational prayer. They hailed Mr Ndume while vilifying his colleagues supporting the bills.

One of the clerics from Sokoto State, Mansur Ibrahim, a professor, alleged that the bill was shrouded in secrecy with its contents still unknown to many Nigerians.

He expressed worry that, unlike other bills that took a long time to pass, the tax reform bills were making speedy progress at the National Assembly.

“Enacting a law is a long process which allows all concerned parties to contribute to its development, and the lawmakers have to deliberate on it; make consultation, debate, and public hearings have to take place before approval, but this particular law, they are using force to actualise it within the shortest period”, the cleric told his congregation on Friday.

Mr Ibrahim said President Tinubu insisted on bills despite opposition from the National Economic Council, Northern Governors’ Forum, which identified grey areas in them.

“The president’s insistence on the tax reform bill is either he is not aware of the hardship Nigerians are going through, or he lacks empathy by planning to add more tax burden on Nigerians, especially on VAT which is why they are gradually withdrawing cash in circulation. With this, any transaction, including buying Maggie cube, you have to pay tax.”

Without providing evidence, Mr Ibrahim also claimed Lagos stands to benefit more from the tax reform bills. “He is not fair and just to other Nigerian states who voted for him, especially the north, and we are still aware that Lagos was won by the Labour Party, not APC. Despite this, the president is giving them preferential treatment”, the cleric said.

“We are calling on you to fear God and suspend the tax reform bills as suggested by the National Economic Council”, he added.

“We must salute our Senator Ali Ndume for his firm opposition to the tax reform bill. We are also calling on other lawmakers supporting it to refrain from it because they are not representing the will of their people.

“They must not disappoint their people. If they agree with the bill to be passed into law, we will pray to God to punish them,” the cleric said.

Also, the president of the Supreme Council for Shariah in Nigeria (SCSN), Bashir Umar, said his group met the deputy senate president over the bill.

Mr Umar said they tabled their concerns and sought audience with the Speaker of the House of Representatives, Tajuddeen Abbas. The cleric said the lawmakers promised to address their concerns.

Some clerics in the northern part of the country were captured in a trending video criticising the bills.

But the senator for Jigawa Northwest district, Babangida Hussaini, said the bills passing a second reading is just an introductory aspect. He said another aspect is the public hearing.

Mr Hussaini said the public hearing stage is where all the stakeholders, including the House Committee on Finance, will provide input and declare their position after scrutinising the bills.

“We are representing the people, we will not allow anything to harm them, and we are going to address all issues during the public hearing. The northern senators have met over the situation.

“There are about two or three steps for these bills to become law. There is nothing to worry about; we are on top of the situation, and we will do the right thing as the representatives of the people,” he said.

Group blames Ndume for unnecessary debate

Senator Ali Ndume 

However, a group, Kano Concerned Citizens, accused Mr Ndume of creating unnecessary debate on the issue while portraying some of his colleagues as either opponents or proponents of the bill.

The group, in a statement signed by its chairman, Haruna Bala, said, “The ongoing misinformation and unwarranted accusations directed at the Deputy Senate President, Senator Barau Jibrin, following the recent heated debate in the Senate over the tax reform bill, is maliciously targeted for a reason.

“It has come to our attention that certain individuals, led by Senator Ali Ndume, have sought to use this debate to tarnish Senator Barau’s reputation and incite public sentiment against him. This is not only unfair but also detrimental to the unity and progress of our nation.

“For clarity, Senator Barau Jibrin’s role during the plenary was purely administrative. As the presiding officer, he read a paper submitted by the Federal Inland Revenue Service (FIRS) regarding the tax reform bill. This action is a routine legislative responsibility always undertaken by presiding officers.

“It is important to emphasize that Senator Barau did not introduce the bill, nor did he express his personal opinion on it. Instead, he facilitated the process by allowing Mr. Taiwo Oyedele, Chairman of the Fiscal Policy and Tax Reforms Committee, and other experts to make a presentation to the Senate. This same presentation had been made to the House of Representatives and the Nigeria Governors’ Forum without similar controversy,” the Kano group stated.

The group said Mr Barau advocated nationwide awareness campaigns in various languages to ensure that Nigerians understand the bill and its implications. This demonstrates his commitment to transparency and inclusivity.

“While we respect Senator Ndume’s right to voice his concerns, his approach during the debate was unnecessarily combative and aimed at creating a false narrative. Instead of addressing procedural issues with decorum, he chose to publicly attack Senator Barau, misleading the public into believing that Barau was behind a supposed anti-North agenda.

“This tactic has unfortunately painted Ndume as a hero defending the North while vilifying Senator Barau without basis. Such behaviour undermines the Senate’s integrity and sows seeds of division among Nigerians.

“We strongly warn Senator Ndume to desist from using the tax reform saga as a tool to tarnish the image and reputation of Senator Barau Jibrin.

“We also call on the general public to seek accurate information about the tax reform bill before forming opinions. The bill is still under review, and further clarifications will be made during subsequent Senate sessions.

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“The current political climate requires leaders to act with maturity and a sense of responsibility. Divisive tactics and misinformation only serve to hinder progress. We urge all senators, including Senator Ndume, to engage in constructive dialogue and focus on the best interests of Nigerians.

“Senator Barau Jibrin has always been a champion of Kano State and Northern Nigeria. His track record speaks for itself, and we will not allow anyone to tarnish his name for political gain,” the group warned.

Mr Ndume’s known phone contact did not connect Saturday to respond to the allegations by the Kano group.