Shehu Sani, Ndume differ over tax reforms

The battle for the soul of the proposed tax reform bill before the National Assembly is tilting towards controversy day by day as the former Senator representing Kaduna Central Senatorial District, Shehu Sani was of the belief that the reform would serve the interest of the Northern region better than what is being insinuated.

There have been disquiet among the northerners particularly the elite, the politically exposed among them, some lawmakers in the upper and lower legislative Chambers of the National Assembly who expressed misgivings that the bill would be injurious to the northern interest if it was allowed to see the light of the day.

The confidence crisis was instigated after President Ahmed Tinubu in October, forwarded an executive bill to the National Assembly urging lawmakers to consider and pass four tax reform bills which include the Nigeria tax bill, the tax administration bill, and the joint revenue board establishment bills.

But reacting to the bills at different fora and through a statement which he personally signed, Senator representing Borno South Senatorial District, and former Chief Whip, Mohammed Ali Ndume opposed the bill and described it as ‘ill-timed’ given that Nigerians are currently in economic crisis.

According to him, it does not make ‘political sense’ presenting the tax reform bills to the lawmakers for now. Though, he admitted that he hasn’t read the bills, he allayed fears that the tax reform bill would increase domestic expenditure of Nigerians.

In his words: “I can tell you that it will be dead on arrival. We don’t need to study the bill,” he said.

“The general thing is that Nigerians are not willing to talk, hear or pay any tax now considering the situation we have faced because this is the government of the people.

“Right now, people can’t even afford what to eat. People are struggling to survive. Let people live first before you start asking them for tax.”

Reacting to the position of Senator Ndume, Shehu Sani, a Civil Rights Activist described Ali Ndume as a lazy lawmaker who has not read a copy of the bill, but has blindly opposed it thereby attempting to deny Nigerians of the advantages inherent in the bill.

Sani said, there are six geopolitical zones and four regions of the country, wondering what are those issues in the bill that the North should fear, adding that the North should be ready to confront its fears and conquer them.

He insisted that the tax reform bills were not inimical to the north as being portrayed by Ndume and his likes rather the North stands at advantage in the reform proposal that would place the Value Added Tax, VAT right in hands of each state to control.

For instance, “there is a provision where companies are to pay value added tax to the host State instead of sending it to a single account that would not be shared among the 36 States including the Federal Capital Territory.”

“Its in fact economically beneficial and fair to all parts. People should keep aside sentiments and read the Bill carefully.

“It’s a comprehensive and bold move to harmonise and simplify tax administration and streamline its operations and enforcement. The Bill will actually generate and safeguard more revenue for the country and the States.

“It will also combat the corruption in the so-called tax waivers granted to business cabals. There is nowhere in the document where any region will be shortchanged or taxes will be increased or jobs will be lost.

Sani insisted that the reform could create a paradigm shift from the past and outdated tax system to a robust way of generating revenue which it takes a courageous president to do, particularly, as it will address business cabals who could do anything to evade tax remittances and seek unnecessary tax waivers.

He warned that the economy would be taken aback if the tax reform bills were truncated, condemning Northern State Governors’ rejection of the reform. He advised the State Governors to engage consultants to study the bill, if they had no time to do it themselves and backtracks on their decision.