Tax Reform Bills: Governors declined meetings, says Oyedele

Taiwo Oyedele, the Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms , has responded to claims that the committee failed to engage with Nigerian governors, clarifying that it was the governors who canceled four scheduled meetings with the committee....CLICK HERE TO READ THE FULL ARTICLE➤

During an appearance on Arise Television, Oyedele addressed the allegations made by elder statesman Buba Galadima, who accused the committee of favoring Lagos and Ogun states while neglecting other regions. Galadima also claimed that some committee members disowned the report, suggesting unilateral decision-making by the chairman.

Oyedele firmly defended the committee’s approach, emphasizing that the panel had extensive consultations, including meetings with over 120 Muslim clerics from the north, the League of Democrats, and various key stakeholders, such as finance commissioners, heads of Internal Revenue Services, manufacturers, SMEs, and FinTech representatives.

Regarding the governors’ lack of engagement, Oyedele explained that the committee had made efforts to meet with six governors, one from each geopolitical zone, but was only able to meet with the Lagos State governor and the deputy governor of Kaduna State. He expressed frustration over the governors’ limited cooperation, revealing that the Governors’ Forum canceled multiple meetings and restricted the committee to a brief 15-minute session during a late-night gathering.

The committee’s work, Oyedele noted, was critical to addressing Nigeria’s pressing economic challenges, and he stressed the need for swift reforms to put the country on a sustainable development path. He also addressed concerns about unilateral decision-making, asserting that all proposals had been thoroughly debated, with votes taken on contentious issues.

Oyedele dismissed claims that committee members had disowned the report and challenged critics to provide evidence to back their allegations. He also voiced his surprise at calls for the withdrawal of all four proposed bills due to disagreements over specific provisions, urging a more constructive dialogue to resolve these issues.

He reiterated the committee’s openness to engagement, highlighting its productive discussions with northern clerics and other organizations as evidence of its commitment to inclusivity and transparency.

The proposed tax reforms, which include the Nigeria Tax Bill 2024 and other related legislation, have sparked significant debate, particularly in northern Nigeria, where there are concerns over a potential reduction in Value Added Tax (VAT) allocations. Despite these concerns, the bills have already been presented to the National Executive Council (NEC) and the Federal Executive Council (FEC) and are set to be sent to the National Assembly.

The proposed reforms aim to overhaul the nation’s tax system to improve fairness and efficiency, but a key provision regarding VAT distribution based on a derivation model has faced rejection from northern governors, traditional rulers, and other regional leaders. ...CLICK HERE TO READ THE FULL ARTICLE➤