However, the NEF argued that these measures disproportionately impact Northern Nigeria, which faces challenges such as insecurity, poverty, and youth unemployment.
The Northern Elders’ Forum (NEF) has expressed strong reservations about the President Bola Tinubu-led government’s proposed Tax Reform Bills, describing them as flawed and potentially harmful to Northern Nigeria’s economic realities.
In a press statement signed by A.M Al-Amin Daggash, Chairman of the NEF Board on Saturday, the forum outlined its concerns and recommendations while calling for an immediate suspension of the reforms.
The forum stated, “It is terribly shocking, that, in this time and age, with nearly three decades of unbroken experimentation of democratic governance, our dear country will be so sadly saddled with a government that is working assiduously, to deny its citizens, the vigorous ventilation of democratic opinions and freedom of expression.”
The proposed reforms, comprising four bills – the Nigeria Tax Bill, Nigeria Tax Administration Bill, Nigeria Revenue Service (Establishment) Bill, and Joint Revenue Board (Establishment) Bill – aim to enhance tax collection efficiency and boost government revenue.
However, the NEF argued that these measures disproportionately impact Northern Nigeria, which faces challenges such as insecurity, poverty, and youth unemployment.
“The sudden and abrupt introduction of these obvious draconian Tax Reform Bills by the Federal government would certainly exacerbate rather than alleviate the unbearable existing harsh economic realities being faced by the poor and vulnerable people in Northern Nigeria,” the statement read.
The forum criticised the Nigerian government for failing to adhere to global best practices in policy-making, such as engaging stakeholders and designing a transparent implementation mechanism.
“These glaring failures necessitated the timely setting up of a Committee of Experts on the field, by the Northern Elders’ Forum,” they added.
Among their recommendations, the NEF urged the government to suspend the rush to implement the bills, prioritise dialogue with stakeholders, and reconsider plans to increase VAT.
They also called for the protection of strategic institutions like TETFund, NITDA, and NASENI, stating, “We strongly recommend that the status quo should be maintained by the government, so as to strengthen and protect these strategic national institutions.”
The forum also emphasised the need for fairness in VAT revenue distribution and advocated for the exemption of agricultural goods and livestock from VAT, noting the significant impact on Northern Nigeria’s economy.
Furthermore, they proposed replacing contentious terms like “ecclesiastical” with “religious” to promote inclusivity and recommended exempting religious organisations and family inheritance wealth from taxation.
The NEF concluded, “The leadership of Northern Elders’ Forum holds the firm view that government’s interests will best be served by actively engaging in comprehensive dialogue with varied and critical stakeholders, in order to foster very admirable legislative outcomes that will respect the rights of all citizens.”
The forum reaffirmed its commitment to contributing towards achieving a transparent and equitable tax administration system that prioritises national unity and economic progress.
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