The Presidency has addressed concerns regarding the expedited progress of the Tax Reform Bills, emphasizing the meticulous efforts behind their development.
Senior Special Assistant to the President on Media and Publicity, Temitope Ajayi, stated on Monday via X that the reforms are the culmination of 14 months of work by over 80 professionals from across Nigeria. He warned that delaying their passage could replicate the prolonged 20-year legislative process of the Petroleum Industry Bill (PIB), which cost Nigeria heavily in revenue, investments, and job opportunities in the oil and gas sector.
“It is disingenuous to claim that the Tax Reform Bills are being rushed. These bills represent extensive consultations and are vital for Nigeria’s economic growth,” Ajayi said.
Timeline of Reform Development
Ajayi outlined the 14-month journey of the Tax Reform Bills, underscoring the rigorous consultations and stakeholder engagement involved. He dismissed allegations of ulterior motives, emphasizing the urgency of diversifying Nigeria’s economy amidst dwindling oil revenues and a mounting debt burden.
Here is an image of itemised details of groups, dates, and time involved in the build-up to the bill:
Governor Zulum’s Concerns
Borno State Governor, Babagana Zulum, expressed reservations about the legislative speed, calling for caution. In an interview with BBC Hausa, Zulum compared the current process to the PIB’s two-decade journey, warning that hasty implementation could have adverse effects, particularly on northern states.
“Why the rush? The PIB took nearly 20 years to pass. This tax reform bill is progressing within a week. It must be approached carefully to ensure long-term benefits,” Zulum said. He added that Lagos State stands to be the primary beneficiary of the proposed reforms, potentially leaving other states at a disadvantage.
Lessons from the PIB
Ajayi highlighted the PIB’s protracted legislative journey as a cautionary tale of lost opportunities. Political gridlock and lack of urgency left Nigeria lagging in global oil and gas investments, crippling revenue streams and economic growth.
Call to Action
Ajayi urged lawmakers to act decisively, prioritizing national interests over political differences. “Delaying the Tax Reform Bills would jeopardize Nigeria’s economic stability and growth. The most important thing is to be transparent, accountable, and upright in decision-making,” he stressed.
With Nigeria at a critical juncture, the Presidency insists that swift passage of the Tax Reform Bills is essential to modernizing the country’s tax system and funding crucial public services.
