President Bola Tinubu’s controversial Tax Reform Bills we’re on Thursday passed for second reading by the Senate after a closed-door session.
The bills, which comprise 43 clauses and six parts, were presented by the Senate Leader, Opeyemi Bamidele.
They are expected to overhaul Nigeria’s tax system to drive revenue generation, simplify compliance, and support business growth.
The bills also propose a reduction in corporate from the former 30 per cent to 25 per cent tax.
Additionally, they are expected to protect small businesses and exempt the poor from paying tax.
Although some Senators, such as Ali Ndume opposed the bills, the bills were passed for second reading by the Senate President, Godswill Akpabio, after a voice vote.
Ali Ndume, APC Senator (Borno) in his opposition to the bills, pointed out that there was insufficient consultations, issues with the Value Added Tax (VAT), and derivation as reasons.
He added that constitutional amendment is required for some of the proposals in the bills to come into effect.
“There is the issue of derivation because the Constitution has to be amended for some of the proposals of the Bill to be affected. This bill should be withdrawn. We work on it and submit it back after getting the buy-in of the Governors, National Executive Council and the Traditional Rulers,” Ndume said.
However, Senator Seraike Dickson and the Chairman Senate Committee on Finance supported the bills supported the bill.
Godswill Akpabio, the Senate President,
ruled in favour of the lawmakers in support of the bills and passed them for second reading.
Nevertheless, the Senate mandated its Finance Committee to hold a public hearing on the proposed bill to enable stakeholders express concerns about the bills.
