Senate President Godswill Akpabio has called on Nigerians to embrace the proposed tax reform bills, emphasizing that reforming Nigeria’s tax administration is key to the nation’s future prosperity.
Speaking on Monday at the commencement of a two-day public hearing organized by the Senate Committee on Finance, Akpabio highlighted the necessity of adapting the revenue system to contemporary realities to avoid stagnation and decline.
He stressed that Nigeria must leave behind outdated tax practices and bureaucratic hurdles, transitioning to a robust, transparent, and business-friendly tax administration.
The four proposed bills are the Nigeria Tax Bill 2024, the Nigeria Tax Administration Bill 2024, the Nigeria Revenue Service Establishment Bill 2024, and the Joint Revenue Board Establishment Bill 2024.
Embracing Tax Reform for a Prosperous Nigeria
In his speech titled “New Dawn: Embracing Tax Reform for a Prosperous Nigeria,” Akpabio described the public hearing as a transformative step towards economic renewal and prosperity for all Nigerians. He urged stakeholders to approach this responsibility with courage, wisdom, and a steadfast commitment to the Nigerian people.
- According to Akpabio, the public hearing is more than a legislative requirement; it is a call to collective action. It provides a platform for dialogue where lawmakers, tax administrators, business operators, and citizens can collaborate to craft a fair, transparent, and effective tax regime that reflects the interests of all.
- He stated that the four bills aim to harmonize revenue administration across all tiers of government. “The bills seek to reduce the cost of tax collection, enhance compliance, foster transparency, accountability, and efficiency in tax administration,” Akpabio explained.
He emphasized the importance of a unified approach to revenue generation, involving federal, state, and local governments, alongside the private sector and civil society, adding that the bills will also introduce digital innovations to simplify tax payments and close loopholes, ensuring fairness, protecting vulnerable taxpayers, and creating an environment conducive to economic growth.
What you should know
Chairman of the Committee, Sen. Sani Musa, acknowledged concerns about marginalization, disproportionate sharing, and potential biases in tax administration and revenue allocation. He assured that the tax reform process would be thorough, inclusive, and guided by national interest.
- Musa stated that the National Assembly’s goal is to develop a tax framework that promotes economic prosperity, encourages investment, and strengthens fiscal sustainability.
- He emphasized that transparency, fairness, and inclusivity would be the guiding principles throughout the process.
- The Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, emphasized the need for reforms in the nation’s tax administration to improve revenue generation for infrastructure development and economic growth. He noted that the public hearing would provide stakeholders with an opportunity to contribute to and be involved in the process.
The event was attended by representatives from revenue-generating agencies such as the Nigeria Customs Service (NCS), Federal Inland Revenue Service (FIRS), Nigerian National Petroleum Company Limited (NNPCL), Nigerian Immigration Service (NIS), as well as tax-related NGOs and associations.
