Connect with us

Senate

Senate suspends Action on Controversial Tax Reform Bills

Published

on

***Constitutes Special Committee to Engage FG

The Senate has suspended further action on the contentious Tax Reform Bills, as a result of widespread public outcry and opposition from Northern Governors, who labeled the bills as “anti-democratic.” 
The decision was announced by Deputy Senate President Jibrin Barau during Wednesday’s plenary.
Barau explained that the Senate Committee on Finance had been directed to halt public hearings and deliberations on the bills until the concerns raised by various stakeholders are addressed. 
A special committee has also been constituted to liaise with the executive branch to resolve the contentious issues.
The Contentious Bills Under Review are: ‘A Bill for an Act to Establish the Joint Revenue Board, the Tax Appeal Tribunal and the Office of the Tax Ombudsman, for the harmonisation, coordination and settlement of disputes arising from revenue administration in Nigeria and for other related matters, 2024.
‘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, and for related Matters, 2024.
‘A Bill for an Act to Provide for the assessment, collection of, and accounting for revenue accruing to the Federation, Federal, States and Local Government; prescribe the powers and funtions of tax authorities, and for related matters, 2024.
‘A Bill for an Act to Repeal certain Acts on taxation and consolidate the l;egal frameworks relating to taxation and enact the Nigeria Tax Act to provide for taxation of income, transactions and instruments, and for related matters.
The bills aim to reform the nation’s tax system, but have faced opposition, particularly due to concerns about the proposed value-added tax (VAT) derivation formula, which critics argue could disproportionately affect northern states.
Northern Governors had strongly opposed the bills, with Borno State Governor warning that they could “crumble the economy of the North.” In response, the National Economic Council (NEC), chaired by Vice President Kashim Shettima, recommended the withdrawal of the bills for further consultations.
Oyo State Governor Seyi Makinde, speaking on behalf of the NEC, had emphasized the need for broader consensus, noting that certain sections of the country found aspects of the bills unacceptable.
Following the controversy, the Senate invited the President’s Economic Team, led by Taiwo Oyedele, Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, and Zacchaeus Adedeji, Chairman of the Federal Inland Revenue Service, to clarify the bills. Despite their explanations, concerns persisted, prompting the Senate to call for further dialogue.
Deputy Senate President Barau emphasized the Senate’s role as a stabilizing force, stating, “We have decided to set aside politics, ethnicity, and regionalism to resolve the issues surrounding the tax reform bills. In collaboration with the Executive, we will establish a forum to identify and address contentious areas to ensure national unity.”
Barau added that the Attorney General of the Federation would be involved in the discussions to resolve legal disputes surrounding the bills.
The special committee, comprising Senate leadership and key members such as Adamu Aliero, Orji Kalu, Seriake Dickson, and Sani Musa, is scheduled to meet with the Attorney General on Thursday to address the issues.
The Senate reaffirmed its commitment to supporting President Bola Tinubu’s economic reforms while ensuring that no new policies exacerbate the country’s current economic challenges.

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Senate

Senator Natasha’s Push for Local Content Sparks Debate on Nigeria’s Economic Future

Published

on

By

In a bold call for transformative change, Senator Natasha Akpoti-Uduaghan, Chairperson of the Senate Committee on Local Content, has urged the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) to enforce policies that put Nigerian companies at the forefront of the oil and gas industry.
Her remarks at a high-stakes meeting with the Senate Committee on Appropriation, the Nigerian National Petroleum Corporation (NNPC), and the NUPRC spotlighted the urgent need to address the marginalization of local firms in favor of international contractors.

Using Samsung Heavy Industries Nigeria as a case study, Senator Akpoti-Uduaghan pointed to the company’s $272 million investment in a world-class fabrication facility in Lagos and the training of over 500 Nigerians. Despite this, Samsung has secured only one project since 2013. “This is an unsustainable trend,” she declared. “Local companies like Samsung have the infrastructure and expertise to deliver. Prioritizing them will reduce costs, speed up projects, and create thousands of jobs for Nigerians.”
The senator’s critique sheds light on systemic issues in Nigeria’s oil sector. Decades of advocacy for local content have yielded minimal results, with International Oil Companies (IOCs) continuing to favor foreign firms over Nigerian businesses that have invested in capacity building.
Her call for a policy overhaul aims to bridge this gap. “The current approach sends the wrong message to foreign investors and stifles local innovation. It’s time we deliver on our promises and foster a more inclusive economy,” she asserted.
Responding to these concerns, NUPRC Chief Executive Gbenga Komolafe highlighted some progress, including an increase in Nigeria’s rig count and enhanced capital expenditure. However, Komolafe admitted that more deliberate actions are needed to make local content compliance an industry standard.

This renewed focus on local content comes as Nigeria faces soaring unemployment and the pressing need for economic diversification. Experts suggest that boosting local participation in the oil and gas sector could trigger a ripple effect, revitalizing industries such as manufacturing, logistics, and technology.

Advocates believe that prioritizing local firms could redefine Nigeria’s oil sector, transforming it from a revenue hub to a platform for inclusive growth. This approach aligns with the global shift toward leveraging domestic expertise to stimulate broader economic benefits.

Senator Natasha’s impassioned advocacy may mark a pivotal moment for Nigeria’s economic policy. Her vision challenges the nation to rethink its approach to natural resource management, emphasizing that the true wealth of the oil sector lies not just in revenues but in its capacity to empower local communities and industries.
As the debate continues, one thing is clear: the time to act is now. The future of Nigeria’s oil industry and by extension, its economy depends on bold, inclusive policies that prioritize homegrown talent and enterprise.

Continue Reading

Senate

Senate Asks NWDC, SEDC Nominees to Uphold Trust, Integrity

Published

on

By

The Senate has charged nominees for the Governing Boards of the North West Development Commission (NWDC) and South East Development Commission (SEDC) to justify the confidence reposed in them by President Bola Ahmed Tinubu and Nigerians.

The admonition was made during the screening session conducted on Monday by the Senate Ad-Hoc Committee on Regional Development Commissions, chaired by Senator Orji Uzor Kalu (APC, Abia-North).
Senators underscored the importance of ethical governance and development-focused leadership in the commissions, warning nominees against betraying public trust.

Prof. Abdullahi Shehu Ma’aji, who retained his position as Managing Director of the NWDC, led the commission’s 14 nominees. Other appointees included Alhaji Lawal Samai’la Abdullahi (Chairman), Dr. Yahaya Umar Namahe, Hon. Aminu Suleiman, and several others.

The SEDC’s 18-member board was led by Dr. Emeka Nworgu (Chairman) and Hon. Mark C. Okoye (Managing Director/CEO), supported by prominent figures such as Barr. Ugochukwu Agballah, Chief Hyacinth Ikpor, and Dr. Clifford Ogbede, among others.
Speaking during the session, Senator Babangida Hussaini reminded the nominees of their responsibility to Nigerians and the president.

“Candidly speaking, you must realize that the confidence of Nigerians and President Tinubu, who found you worthy of this appointment, rests on your shoulders. Justify this trust, work for Nigerians, and address the many challenges we face. Don’t let Nigeria or the president down,” he said.

Senator Orji Uzor Kalu reiterated the importance of prioritizing public interest and warned against unethical practices.

“You are the face of these organizations, and we will not tolerate anything that tarnishes the image of the commissions or brings disrepute to the president. Use allocated funds strictly for development projects, and don’t pay for jobs that aren’t done. The Senate will oversee your activities closely, and any misconduct will be reported to the president for appropriate action,” Kalu cautioned.

The committee highlighted the urgency of the nominees’ clearance due to the ongoing budget process. Kalu stressed the need for collaboration between the commissions and the National Assembly to ensure timely project execution and budget implementation.

“We are clearing you now because of the budget process. If you fail to act appropriately, your commissions may miss out on key developmental funding. Improve your relationship with the National Assembly to foster progress,” he added.

With no objections raised against their clearance, the nominees are expected to formally assume their roles soon. The Senate has assured Nigerians of its commitment to monitoring the activities of the commissions to ensure accountability and tangible development in the North West and South East regions.

Continue Reading

Senate

Senate Panel on Army Condoles Nigerian Army Over Soldiers Killed in Borno

Published

on

By

Abdulaziz Musa Yaradua

The Senate Committee on Army has expressed profound grief over the death of six gallant soldiers who lost their lives during a clash with ISWAP/Boko Haram insurgents in Sabon Gari, Damboa Local Government Area of Borno State on January 4, 2025.

In a statement issued by the Chairman of the Committee, Senator Abdulaziz Musa Yaradua, the Senate extended heartfelt condolences to the Nigerian Army and the families of the fallen heroes. “Their sacrifice for the peace and security of Nigeria will not be forgotten. These brave soldiers paid the ultimate price for the nation, and their legacy will continue to inspire generations,” Senator Yaradua said.

The Committee commended the military’s unwavering dedication to combating terrorism and restoring stability to affected regions. It called on the troops to remain steadfast in their mission despite the painful loss of their colleagues.

As the Nigerian Army prepares to mark Remembrance Day on January 15, the Committee assured the military of the Senate’s unwavering support and reiterated the nation’s commitment to honoring the sacrifices of its fallen heroes.

“The Senate Committee on Army stands in solidarity with the Nigerian Army during this challenging period and remains committed to supporting all efforts toward achieving lasting peace and security in the country,” the statement concluded.

Continue Reading

Trending

Copyright © 2024 National Update