The Coalition of Northern Groups (CNG) Gombe State Chapter, in collaboration with Civil Society Organisations (CSOs) and other key stakeholders, yesterday, rejected the Tax Reform Bills proposed by President Bola Tinubu.
The group urged lawmakers, particularly those representing Northern Nigeria, to oppose the reforms, and called for broader consultations to develop inclusive and sustainable economic policies.
In a statement issued after a town hall meeting held at Gombe State University, Co Muhammed Usman Deba, Coordinator of CNG Gombe State, Muhammed Usman Deba, representing Voice for Rural Women, and Lawal Idris Lawantee, Acting Chairman of CSOs, enunciated their concerns and recommendations.
The meeting, themed “Tax Reform Bills: A Catalyst for Economic Growth or a Burden on the People?”, brought together policymakers, academics, civil society leaders, youth groups, and concerned citizens to examine the implications of the proposed tax reform bills.
While restating its opposition, the group cited the bills’ potential to aggravate prevailing socio-economic challenges, particularly in Northern Nigeria.
It noted that proposed pieces of legislation had equally faced significant opposition from various stakeholders, including the National Economic Council, Northern Governors’ Forum, and other prominent groups.
A major concern, according to the group, is the proposed amendment to the Value Added Tax (VAT) distribution formula. Under the current system, VAT revenue is allocated based on the location of a company’s headquarters and tax office, rather than where the goods and services are consumed.
A statement issued by the gathering reads in part: “The Federal Government should halt the proposed VAT increases, and instead reduce the current VAT rate to per cent. This reduction will provide relief to citizens and businesses while encouraging economic activities.
“Alternative revenue-generating strategies must be explored to avoid placing additional financial pressure on ordinary Nigerians.”
“Any attempt by telecommunications companies to increase tariffs will be firmly opposed. The government and regulatory authorities must ensure that telecommunications remain affordable for all Nigerians, given its critical role in economic and social connectivity.” They called for the immediate withdrawal of the proposed reforms, urging the Federal Government to adopt a people-centred approach to economic policies.
