VAT bill passes first, second readings in Ogun Assembly
The proposed bill on the Ogun State Value Added Tax Law 2021 has scaled first and second readings on the floor of the State House of Assembly.
All the lawmakers unanimously agreed that the bill, when operational, would accord the state its rightful position as a viable federating unit among states generating worthy financial returns in the country.
The bill, H.B No. 73/OG/2021, seeks “a law to impose and charge Value Added Tax on certain goods and services, provide for the administration of tax, and for related purposes”.
The lawmakers gave the nod shortly after the motion for the second reading was moved by Majority Leader, Yusuf Sheriff, and seconded by Ganiyu Oyedeji. It was supported by the whole House through a voice vote at a plenary presided over by the Speaker Olakunle Oluomo, at the Assembly Complex, Oke-Mosan, Abeokuta.
Contributing to the bill, Olakunle Sobukanla, Ganiyu Oyedeji, Adegoke Adeyanju and Abdul Bashir Oladunjoye underscored the need for enactment of the proposed law to improve revenue accruable to the state, with a view to ensuring seamless funding of more developmental projects. They lamented that the state often receives a lesser share of what it contributes as VAT to the Federal Government.
In their submissions, Kemi Oduwole, Oludaisi Elemide, Solomon Osho and Olusola Adams said the bill is meant to improve the state’s financial status through tax revenue generation, pointing out that VAT collection is currently not on the exclusive legislative list.
On their part, Atinuke Bello, Sylvester Abiodun, Musefiu Lamidi and Yusuf Sheriff called for speedy passage of the bill, saying it is a pointer to fiscal restructuring, which had been an issue of national discourse.
Responding, Oluomo praised his colleagues for their contributions to the bill, noting that the leading position of the state in the area of revenue generation must be complemented with commensurate remittance from the federation account.
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