The Nigerian Senate has just passed the contentious Tax Reform Bills proposed by President Tinubu at its plenary sitting on Thursday after it was presented by the Senate Leader Opeyemi Bamidele.
Prior to its passage the Lawmakers held a closed-door session which commenced at exactly 11: 43 AM and lasted over one hour to avoid a repeat of yesterday’s rancour in which some Lawmakers protested against the entry of the President’s Tax Team led by the Chairman of the Federal Inland Revenue Service (FIRS) Chairman, Zacch Adedeji and the Presidential Tax consultants address the Senate.
In his lead debate Bamidele explained that the Bill comprises 43 clauses and six parts, he added that the Bill will protect small businesses and the poor will be exempted from Tax payment as well as a reduction in corporate Tax from 30 percent to 25 percent.
He urged the Senate to support the Bill;
“This bill should be seen as the required legislation needed to propel the Nigerian economy to growth and urged the Senators to support the bill for second reading.
The Four Tax Reform Bills which are listed on Thursday’s Order paper stood under the name of Senate Leader Opeyemi Bamidele , APC Ekiti Central.
They are;
“A Bill for an Act to Establish the Joint Revenue Board, the Tax Appeal Tribunal and the Office of the Tax Ombud, for the harmonization, coordination and settlement of disputes arising from revenue administration in Nigeria and for related matters, 2024 (SB. 583) ;
A Bill for an Act to Repeal the Federal Inland Revenue Service (Establishment) Act, No.13, 2007 and enact the Nigeria Revenue Service (Establishment) Act to Establish the Nigeria Revenue Service, charged with powers of assessment, collection of, and accounting for revenue accruable to the Government of the Federation;
A Bill for an Act to Provide for the assessment, collection of, and accounting for revenue accruing to the Federation, Federal, States and Local Governments; prescribe the powers and functions of tax authorities, and for related matters, 2024 (SB. 585) and a Bill for an Act to Repeal certain Acts on taxation and consolidate the legal frameworks relating to taxation and enact the Nigeria Tax Act to provide for taxation of income, transactions and instruments, and for related matters, 2024 (SB. 586)”.
Prior to its passage, Senator Ali Ndume APC Borno South rejected the bill citing insufficient consultations, issues in the Value Added Tax ( VAT ) and derivation.
He said; : “I am not against reforms but my problem is the timing as it is today in Nigeria as we say I want to add to what Senator Seraike said.
“There is the issue of derivation because the Constitution has to be amended for some of the proposals of the Bill to be affected. This bill should be withdrawn. We work on it and submit back after getting the buy-in of the Governors, National Executive Council and the Traditional Rulers”.
However Senators Seraike Dickson and the Chairman Senate Committee on Finance supported the Bill to be read for second reading.
The Bill was subsequently passed for second reading after Senate President Godswill Akpabio ruled in favour of the Ayes.
Details later!!!
