Tax Reform Bills: Northern Leaders Submit Views To NASS

The apex northern sociocultural group, Arewa Consultative Forum (ACF), has submitted a report containing a comprehensive set of observations and recommendations to the National Assembly on the Executive Tax Reforms Bills, which are meant to achieve a sweeping overhaul of Nigeria’s tax laws.

According to the ACF national publicity secretary, Professor Tukur Muhammad-Baba, ACF’s submission was the outcome of a special purpose committee of experts set up by its Board of Trustees, which studied the bills in order to make appropriate recommendations.

In the submission, ACF said the proposed tax reforms would impact all sections of the country, not just the North.

The forum’s spokesperson also disclosed that copies of the ACF report had been distributed to the Forum of Northern State Governors, traditional rulers, northern interest groups, relevant government agencies, other stakeholders, and, through e-copies, the general public and the press.

Highlights of the ACF’s Report include recommendations to the effect that, as a whole, the reforms must aim to “retain the current 7.5% rate of Value added Tax (VAT) in line with the reality of current economic challenges facing citizens and businesses; improve the efficiency of (VAT) collection, improve revenue collection through the formalisation of the informal sectors, use digital technologies, and ensure the vigorous expansion of Nigeria’s tax base through encouraging private sector investments.

RELATED

Buratai Advocates Fusion Of Military Strategy, Diplomacy In Global Peace Efforts

4 minutes ago

Saraki Chairs PDP Strategy C’ttee As Party Mulls May 27 For NEC Meeting

1 hour ago

“Also, VAT on agricultural equipment should be expunged, and the words “supply and supplies” in Chapter 6 (VAT), Part 1, Sections 143, 144, 145 and 147 of the Tax Administration Bill should be changed to “consumption or consumptions.

“Also, the term “derivation” needs to be clearly and unambiguously defined, and its distribution should be based on consensus reached through consultation with states and local governments as well as the advice of the Revenue Mobilisation and Fiscal Commission (RMFC),” it said.

ACF also noted that all small towns and major cities should have their streets named and houses numbered to make taxpayers easily traceable and that annual upper limits must be set for tax exemptions and waivers.

ACF also stated that the powers attributed to the chief executive officer and chairman of the board of directors/governance of the Joint Revenue Board should be drastically reduced as the proposed provisions amount to attributing and concentrating almost absolute powers of supervision and accountability to a single person.

It further recommended that six executive directors reflecting federal character must replace the proposed eight coordinating directors to be nominated by the president and confirmed by the Senate, among other recommendations.

ACF encouraged all concerned stakeholders, for the sake of posterity and as a national duty, to engage and make submissions to the relevant National Assembly (Senate and House of Representatives) Committees undertaking public hearings on the proposed tax bills.