The House of Representatives in Nigeria has indefinitely suspended its planned debate on the Tax Reform Bills proposed by President Bola Ahmed Tinubu, following intense pressure from northern governors and lawmakers.
In a memo dated November 30, 2024, and signed by the Clerk of the House, Dr. Yahaya Danzaria, members were informed of the decision to postpone the special session initially scheduled for December 3. The memo stated that the delay was due to the need for “broader consultations with relevant stakeholders.”
The announcement comes amid growing opposition from the Northern Governors Forum and lawmakers representing the 19 northern states. Key among the dissenters are 73 lawmakers, including 48 from the North-East, 24 from Kano, and Senator Aminu Tambuwal of Sokoto State.
Northern Governors Oppose Bills
The Northern Governors Forum had earlier raised concerns about the proposed Value Added Tax (VAT) sharing formula embedded in the bills. At a meeting in Kaduna on October 29, the forum instructed federal lawmakers from their states to reject the bills.
Borno State Governor, Babagana Zulum, expressed strong reservations during an interview with BBC. “Why the rush? The Petroleum Industry Bill took almost 20 years to pass. We cannot afford to implement these tax reforms hastily,” Zulum stated.
He added, “If passed, these bills will severely disadvantage the North and other regions like the Southeast and parts of the Southwest. Only Lagos stands to benefit significantly. We need time to conduct a thorough consultation and ensure the laws benefit all Nigerians.”
Opposition from Kano Lawmakers
In Kano State, 24 federal lawmakers unanimously rejected the bills during a caucus meeting chaired by Deputy Governor Aminu Gwarzo. Idris Dankawu, representing Kumbotso Federal Constituency, said, “We stand firmly against these tax reforms. They are not in the best interest of Kano State and its people.”
Tambuwal Condemns Timing
Former Sokoto State Governor and Senator Aminu Tambuwal also criticized the proposed reforms during a public event. “This is not the right time to introduce such measures. Nigerians are already struggling with the economic impacts of subsidy removal and naira devaluation,” he remarked.
Support for the Bills
Despite the opposition, some lawmakers have voiced support for the tax reforms. Philip Agbese, representing Ado/Ogbadigbo/Okpokwu Federal Constituency in Benue State, argued that the reforms aim to ease the burden on the poor and small businesses.
“We are lobbying our colleagues to see the long-term benefits of these reforms,” Agbese told reporters.
Babajimi Benson, representing Ikorodu Federal Constituency in Lagos, echoed similar sentiments. “The bills are transformative and designed to enhance Nigeria’s fiscal framework. However, we need to address contentious issues to ensure broad acceptance,” he said.
