Federal Govt’s Tax Reforms Could Spell End For TETFund, COEASU Warns

The Colleges of Education Academic Staff Union (COEASU) has expressed deep concerns over the proposed tax reforms by the Federal Government, warning that the Tax Bills could jeopardise the survival of the Tertiary Education Trust Fund (TETFund) and, by extension, the nation’s tertiary education system.

In a statement issued on Tuesday in Abuja, COEASU President, Dr. Smart Olugbeko, criticised aspects of the proposed tax administration reforms, which he said threatened to cut off TETFund’s critical funding sources.

Olugbeko described the move as a “dangerous ambush” that could severely undermine the development of public tertiary institutions in Nigeria.

“Our Union, the Colleges of Education Academic Staff Union (COEASU), has noted with serious concern the inimical effect of the proposed tax reforms of the Federal Government on Tertiary Education in Nigeria,” the statement read.

“The tax reform is nothing but a dangerous ambush aimed at destroying public tertiary institutions in Nigeria. We strongly reject the aspects of the proposed tax administration which aims to withdraw or impede on the source of fund to Tertiary Education Trust Fund (TETFund).

RELATED

Recruitment: Customs Denounce Viral CBT Shortlist, Say Process Still Ongoing

2 minutes ago

SG Holdings Signals Global Expansion With Impressive Balance Sheet After 10-yr Growth

5 minutes ago

“Such injury, if allowed to stand, is bound to undermine the development of public tertiary education in Nigeria,” it added.

Emphasising the pivotal role of TETFund, Olugbeko noted that the Fund was a product of decades-long advocacy by academic unions, particularly the Academic Staff Union of Universities (ASUU), adding that before its establishment, Nigeria’s tertiary institutions were grappling with decayed infrastructure and inadequate funding.

“It is shocking to note that no Nigerian government in the last two decades or more has committed up to 9% of the annual budget to education despite UNESCO’s recommendation of 26%,” the statement said.

COEASU warned that withdrawing TETFund’s funding source could push public tertiary institutions into the stock market, transforming them into profit-driven ventures accessible only to the wealthy.

“Except for TETFund, which has become the spine and lifeblood of public tertiary education funding, Nigerian universities, polytechnics, and colleges of education would have gone comatose. TETFund has been playing an indispensable role in the development of tertiary institutions in Nigeria, providing funding for infrastructure, research, teaching, and staff development,” Dr. Olugbeko stated.

The union also commended TETFund for its efficiency and transparency, describing it as one of Nigeria’s best-managed government agencies.

COEASU accused the political elite of attempting to dismantle public tertiary institutions in favour of private, profit-driven alternatives, as was done with public secondary schools.

“Rather than killing TETFund through the purported tax reform, the Federal Government should strengthen and expand its revenue accrual sources with a view to sustaining the Fund’s commendable efforts in our institutions,” COEASU urged.