Northern governors have been advised to accept the new tax reform bills forwarded to the national assembly by President Bola TinubuAdamu Garba, a former presidential aspirant, gave the advice to the governors, adding that the advantages of the bills are more than the disadvantagesGarba further urged the governors and other northern elites to look inward and venture into farming and industries to generate internal revenues in their states
Adamu Garba, a former presidential aspirant in the All Progressives Congress (APC), has urged the northern governors to accept President Bola Tinubu’s tax reform bills and look inward to generate internal revenue for their states.
Garba, a business mogul, noted that the tax reform bills have more advantages than disadvantages and urged the governors to explore farming and industries for internal revenue rather than relying on federal allocations.
Adamu Garba asks Northern governors to accept Tinubu’s tax reform bills
Photo Credit: @officialABAT
Source: Twitter
Why northern governors are against Tinubu’ tax bills
The northern governors are vehemently opposing the tax reform bills, citing concerns that the proposed legislation would further economically marginalize the region. The governors argue that the bills, which include the Joint Revenue Board of Nigeria (Establishment) Bill, the Nigeria Revenue Service (Establishment) Bill, the Nigeria Tax Administration Bill, and the Nigeria Tax Bill, would disadvantage northern states and other less industrialized regions.
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Also, the proposed transition to a derivation-based model for Value-Added Tax (VAT) distribution is a major point of contention. Currently, VAT is remitted based on the location of company headquarters rather than where goods and services are consumed. The governors fear that this change would negatively impact the revenue distributed from the Federal Accounts Allocation Committee.
Borno State Governor Babagana Zulum has been vocal in his opposition to the tax reform bills, stating that they would be detrimental to the northern region. Similarly, Senator Ali Ndume has expressed concerns about the timing and content of the bills, arguing that governance improvements should come before tax reforms.
However, Garba’s comment reads in part:
“Passed or not, the Tax Reform Bill has opened a pandora box of structural deficiencies and economic inadequacies that must be addressed with the greatest sense of urgency.”
See the full statement here:
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18 senators take fresh action on Tinubu’s tax reform bills
South-South senators endorse Tinubu’s tax reform bills
Henzodaily.ng earlier reported that President Tinubu’s tax reform bills have continued to generate reactions from concerned Nigerians and groups.
This is as 18 senators from the South-South region of the country announced their support for the bill.
The federal lawmakers also backed Senate President Godswill Akpabio’s leadership while giving reason for their support of the bills.
Source: Henzodaily.ng