Tax Reform Bill: Northern Group Kicks Against Calls For Wider Consultations
By Abdullahi Alhassan, Kaduna
The Coalition of Northern Groups (CNG) Kaduna State Chapter, has kicked against calls for wider consultations before legislation on the Tax Reform Bill before the National Assembly.
in a communique issued to newsmen after a town hall meeting signed by Comrade Muhammed Sanusi Ali, on behalf of some Kaduna-based Civil Society Organizations and Non Governmental Organizations read in parts:
“The proposed tax reform bill is unanimously rejected due to its lack of inclusivity and potential negative impact on various regions and sectors. The reforms must undergo thorough consultation with all regions and key stakeholders, including civil society organizations, educational institutions, and local governments, to ensure a consensus-driven and equitable approach.
“Increased Tax Burden: it was argued that the proposed national fiscal policy may lead to an increased tax burden on citizens, particularly those in lower-income brackets. If not carefully calibrated, these changes could exacerbate existing inequalities and hinder economic mobility.
“Especially as Nigerians are still grappling with the dual effect of subsidy removal and unification of the exchange rates, which have made the prices of goods and services to rise in a disproportionate manner that has never been experienced in the country,” it stated.
According to the communique, “Discontent and Social Unrest: If the reforms are perceived as unfair or overly burdensome, they could lead to widespread discontent and a loss of trust in government institutions. History has shown us that economic distress often fuels populist sentiments, which can destabilize societies and hinder progress.
“Taxation in the midst of poverty: If you say that it is corporate organizations that will pay higher taxes and not individuals, where will you be when the companies will increase the prices of their goods and services factoring VAT? Do you have price control mechanism?. All these will further result into higher income inequality,” it noted.
It pointed out that agencies such as TETFUND, NITDA, and NASENI are essential for Nigeria’s educational, technological, and industrial advancement and the town hall demands an immediate halt to any plans to defund or restructure these institutions.
Besides, it suggested that their funding and mandates should be strengthened to enhance their capacity to address critical challenges, including research, innovation, and capacity building, which are vital for sustainable national development
