Tax reform: Tinubu sends emissaries to leaders as northern govs remain adamant

In response to mounting opposition, President Bola Tinubu has started sending emissaries to the northern elite to clear the way for the passage of the tax reform bills, Sunday PUNCH reports.

Sources in the Presidency said Tinubu was also consulting with the political class for support on the bills.

An official, who spoke on condition of anonymity because he was not authorised to speak to the press on the matter, said, “What I know is that he (President Tinubu) has been consulting with some of the northern elite at individual level and as groups, even before the holidays.”

Another top source said the President was using “back channels” and other means to win over opposition to the bills.

“He is reaching out through different channels that are available to him to make sure that the grey areas of the bill are smoothened out,” the source added.

However, northern governors have insisted that nothing will change their minds on the bills.

While saying they remained unmoved by Tinubu’s overtures, they demanded that the bills be withdrawn from the National Assembly for further consultation.

The tax reform bills were introduced to the National Assembly by the executive in October 2024.

They include the Nigeria Tax Bill 2024, the Nigeria Tax Administration Bill, the Nigeria Revenue Service (Establishment) Bill, and the Joint Revenue Board (Establishment) Bill.

Northern govs adamant

Following the introduction of the bills, the Northern Governors Forum immediately rejected them, arguing that the proposed model for the distribution of Value Added Tax would severely disadvantage the region.

In a communiqué released on October 28, the forum expressed deep concern, stating, “The forum notes with dismay the contents of the recent Tax Reform Bills forwarded to the National Assembly. The reforms, particularly the proposed amendment to the distribution of VAT to a derivation-based model, are detrimental to the interests of the north and other sub-nations.”

The communiqué further explained that under the proposed system, VAT is remitted based on the location of a company’s headquarters and tax office, as well as where the services and goods are consumed.

The governors argued that the approach would undermine the region’s economic well-being.

As a result, the forum unanimously rejected the proposed amendments and urged members of the National Assembly to oppose any bill that could harm the interests of the people of the North.

The Bauchi State Governor, Bala Mohammed, during an interview took a swipe at Tinubu over the bills, describing them as “anti-northern” and favouring only a section of the country.

The governor warned that if the policies continued, the northern region would “show its true colours” in response.

However, President Bola Tinubu, during a media chat in December, said he had no intention of withdrawing the bills.

He said, “Tax reform is here to say. We cannot just continue to do what we were doing yesteryears in today’s economy. We cannot retool this economy with the old broken tools.

“You cannot satisfy uniformly the larger community of tax evaders. This tax reform is pro-poor; the vulnerable are not to pay taxes. All we are asking for is to widen the tax net and bake the cake larger so that we can share a larger meal.

“They will still ask for this consultation no matter how long I delay it. The hallmark of a good leader is the ability to do what you have to do at the time it has to be done. That is my philosophy.”

In an interview with Sunday PUNCH, the Chairman of the Northern Governors Forum, Governor Muhammad Yahaya, reaffirmed that the northern governors had not relented in their opposition to the bills.

Yahaya, who also serves as the Governor of Gombe State, said the governors would remain “adamant” until the President changed his stance.

A spokesperson for the governor, Ismaila Misilli, said, “The governors of the northern region have already spoken about their position, and they remain adamant.”

He emphasised that even before people became familiar with the contents of the bills, Yahaya had raised concerns, expressing his perspectives on the matter.

“That position has not changed.

“The governor will not be confrontational about it, as he serves as chairman to colleagues in both the APC and the PDP,” Misilli added.

Also, Governor Babagana Zulum of Borno State, maintained his opposition to the bills.

Zulum’s Senior Special Assistant on New Media, Abdulrahman Bundi, reiterated on Friday that the governor’s stance remained unchanged.

“The governor has clearly stated his position, and he is not changing his mind. It is not in his character to play double standards,” Bundi affirmed.

“We have weighed all the options, considered the pros and cons of the bills, and have arrived at this decision. Therefore, the stance remains. There is no plan for him to back down or alter his position.”

Also, the Senior Special Assistant on Public Affairs to Governor Abdullahi Sule of Nasarawa State, Peter Ahemba, said northern governors were united in their opposition to the bills.

Ahemba, in an interview with Sunday PUNCH, said the North had observed that the tax reform bills would only be favourable to states in the South.

He noted that the plan to stop the bills was not the idea of a single governor or National Assembly member, but “the collective responsibility for all political players from Northern Nigeria.”

He said, “You could see the Senators from the North and House of Representatives members from the North speaking in one voice. It is the North speaking in one voice on the matter.

“Also, the stand of the Northern Governors Forum is very clear on the matter. They are urging the President to step down the tax reform bills and allow for further consultations. They want him to consult widely so that people will actually see reasons with the bills.

“For now, the perception is that the tax reform bills will only favour some states like Lagos and others while the North will be shortchanged, and in that regard, the President needs to convince the North about the bills. The Tax Reform Bills that we are talking about is beyond an individual governor. The entire Northern Governors Forum and members of the National Assembly are speaking on this matter with one voice.”

Also, the Kano State Government described the bills as detrimental to the welfare of Nigerians, particularly the northern region.

The governor’s spokesman, Sanusi DawakinTofa, told Sunday PUNCH that the state deputy governor had already made it clear that the state rejected the bills.

“The Deputy Governor, Aminu Abdulsalam, who represented the governor at the occasion, had made the position of the government clear on the tax reform bills,” he said.

Governor Abba Yusuf, who was represented by the Deputy Governor, Abdussalam, declared the government’s position during the 2025 New Year celebration at the Filin Mahaha, Kofar Naisa Open Theatre on Tuesday night.

The governor had said, “This tax reform bill is not the solution to our economic challenges. Kano State stands firmly against any policy that negatively affects the welfare of our people.”

He described the proposed tax hike as “ill-timed, lopsided, and inimical to the unity of the country.”

“Nigerians in general and the north, in particular, are groaning under hyperinflation and unprecedented insecurity, therefore the presidency should rather concentrate its time and attention on tackling extreme poverty and hunger, especially in the northern part of the country,” he added.

‘Suspend reform bills’

Meanwhile, the Deputy National Chairman of the New Nigeria People’s Party, Prince Nwaeze Onu, called on President Tinubu to suspend the tax reform bills for wider consultations with stakeholders.

In a New Year’s message to Nigerians released on Friday, he emphasised that such sensitive reforms should not be rushed through the legislature.

He urged the government to reconsider its approach, stressing that the people of Nigeria were already struggling under the current economic conditions.

“The President has to urgently halt the tax reform bills before the National Assembly considering the precarious state of the economy today and how people pay through their noses for daily bread.

“The tax reform bills should be dropped, and there should be wider consultation with stakeholders. We also urge Nigerians to remain hopeful as the only way to overcome the hardship in the country,” Onu said.

He also condemned what he described as the government’s attempts to stifle opposition parties, arguing that a healthy democracy requires a viable opposition to hold the government accountable and offer constructive recommendations.

A current affairs analyst, Jide Ojo, argued that the tax bills were not designed with the northern region’s interests in mind.

Speaking with Sunday PUNCH, he advised the Federal Government to withdraw the bills to allow for further consultation.

“I have followed the controversy for some time now, and I believe President Tinubu needs to err on the side of caution. No one has a monopoly of wisdom. The North has a legitimate reason to be concerned about these tax bills,” Ojo said.

“I agree with the governors that the bills should be withdrawn for more consultation. The argument that the bills should go through public hearings and people can vent their views at that stage smacks of hypocrisy.”

In an interview with one of our correspondents, the lead partner at Perfect Pitch Consults, an accounting and tax consulting firm, Andrew Echono, echoed Ojo’s position, emphasising the need for broader consultation on the tax bills.

While expressing support for the ongoing tax reforms, he argued that the Oyedele-led committee was overlooking a crucial step in the engagement process.

“I am fully in support of the ongoing tax reforms, but I believe that the committee, led by Oyedele, is skipping a very vital step in the engagement process. Given the sensitive nature of these bills, the Federal Government should step down the bills to allow for wider consultation and inputs from all stakeholders,” he advised.

Southern lawmakers reject calls

However, some members of the National Assembly from the Southern part of Nigeria have countered the call for the withdrawal of the tax reform bills, arguing that such a move would not be in the nation’s best interest.

The lawmakers contend that any concerns about the bills can be addressed when they come up for debate in the House of Representatives when plenary resumes this month.

In an interview with Sunday PUNCH, a member of the House from the South-West, Bamidele Salam, stated that any conflicting clauses in the bills could be discussed and amended during public hearings or at other stages of the legislative process.

“I do not support those calling for the withdrawal of the bills,” Salam said.

“That would be akin to throwing out the baby with the bath water. There is no issue in the bills that cannot be corrected during public hearings and the subsequent legislative stages. We should not delay this important reform as we did with the Petroleum Industry Bill, only to lose golden opportunities for two decades.”

Similarly, another House of Rep member, Oluwole Oke, emphasised that it would be up to the federal lawmakers to decide the fate of the bills.

“In a democracy, the minority will have their say, and the majority will have their way. The representatives of the Nigerian people in Parliament will determine the fate of these four executive bills, not bystanders,” Oke insisted.

Tinubu replies “angry” governors

Meanwhile, President Tinubu has dismissed some governors’ opposition to the key policies of his administration.

Tinubu said he was aware that some governors were angry with him but he would live with their “noise.”

The President spoke on Saturday while on a one-day official visit to Enugu State.

Tinubu brushed aside the opposition of the governors to his administration’s policies, reaffirming his commitment to addressing Nigeria’s challenges and implementing reforms.

He said, “I inherited some of these critical problems and I’m going to do it. I’m lucky I have good governors, though some may be angry with me locally, but we just have to push. Yorubas will say, ‘The pig will get to the slaughter but there will be a lot of noise,’.. I’ll live with the noise.”

The President also said he would not allow the negative comments against his administration to deter him from his mission to rebuild Nigeria.

“This house (Nigeria), we must build it, build it to satisfy our immediate need which is not going to be enough yet, but our tomorrow too, that is why the removal of the fuel subsidy was necessary. You cannot spend the future of our generations yet unborn in advance, don’t bankrupt the nation before they’re are born.

“People will fight, grumble, abuse me and everything but I asked for the job, I have what it takes, I believe in myself, that is why I gathered a very good team to build the nation.

“It is our country; we have to work really hard for it to be the nation that we can be proud of. Negative comments about Nigeria, I’m not taking that, I’m very proud of Nigeria, you all should be proud of Nigeria,” Tinubu said.