The Academic Staff Union of Universities (ASUU), Benin Zone, has sounded the alarm over the proposed tax reform bill, warning that it could lead to the “death” of the Tertiary Education Trust Fund (TETFund) by 2030.
Speaking at a press conference in Benin, Professor Monday Igbafen, the zonal coordinator representing nine universities in Edo, Delta, and Ondo states, stated, “ASUU is worried by the inclusion of the ‘death’ of TETFund, effective 2030, in a tax reform bill that has become an albatross to the Tinubu government.”
He criticised the bill’s provision in Section 59 (3), which reduces TETFund’s share of the development levy to 50% by 2025 and phases it out entirely by 2030.
“TETFund has indisputably remained the cornerstone of the rapid transformation of tertiary institutions in terms of manpower, infrastructural, and academic development,” Igbafen noted.
He urged Nigerians to resist the reform, warning that it would “take public tertiary education many years back and undermine the modest gains in repositioning Nigerian universities for global reckoning and transformative development.”
ASUU, credited with conceptualising TETFund, stressed its role in supporting education at all levels, calling it a “lifeline of tertiary education” that must be preserved.
Meanwhile, the Nigeria Governor’s Forum (NGF) backed the reform bill while also stressing sharing formulas after its eventual passage.
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They also supported the continuation of the legislative process at the National Assembly, which will culminate in the eventual passage of the tax reform bills.
“The Forum reiterated its strong support for the comprehensive reform of Nigeria’s archaic tax laws. Members acknowledged the importance of modernizing the tax system to enhance fiscal stability and align with global best practices,” a communique released by the NGF read in part.
