Tax Reform Bills Designed To Harm Northern Economy –BACCIMA

The Bauchi State Chamber of Commerce, Industry, Mines and Agriculture (BACCIMA) has said that the proposed Tax Reform Bills have been designed to disrupt the economy of states in the northern region.

LEADERSHIP Friday reports that state governors, mainly from the north, intensified criticisms against some of the bill’s provisions. Borno, Bauchi, Kano, and Zamfara state governors, at different forums, criticised the bills, arguing that their states could not afford to pay monthly workers’ salaries under the bills.

President of BACCIMA, Aminu Dan-Maliki in a statement made available to reporters in Bauchi yesterday, said the Tax Reform Bills the presidency sent to the National Assembly for consideration are controversial and designed to favour one section of the country.

“Other leaders in the country should stand up against the bill, which is designed to harm the north.

“If not because of the pressure so far mounted, the Federal Government will not have fine-tuned its submission on the Value Added Tax (VAT) that earlier proposed a senseless position that the revenue that accrued from VAT to Federal Government should be shared with the city where the products are produced and should take the lion share leaving the consumers that pays the VAT tax with little.

“Based on global practice VAT is typically a consumption tax, ultimately paid by consumers. So, from an equity perspective, it makes sense for the revenue to go primarily to where consumers live and spend money,” Dan-Maliki said.