Senators Ndume, Madaki Vow to Rally Lawmakers Against Proposed Tax Reform Bills

In a pushback against the proposed tax reform bills before Nigeria’s parliament, former Senate Chief Whip, Senator Ali Ndume, and Deputy Minority Whip of the House of Representatives, Aliyu Madaki Gini, have vowed to mobilize colleagues in a bid to prevent the legislation from advancing.

The proposed bills, transmitted to the National Assembly on September 3 by President Bola Ahmed Tinubu, have faced strong opposition following a recent recommendation by the National Economic Council (NEC). The council, chaired by Vice President Kashim Shettima and composed of the governors of the 19 northern states and prominent traditional leaders, urged President Tinubu to withdraw the bills for additional consultations due to widespread public concerns.

Despite these appeals, President Tinubu has insisted that the legislative process should proceed as planned, arguing that ongoing deliberations will allow for necessary adjustments and public input without the need for retraction.

In recent statements to BBC Hausa, both Senator Ndume and Representative Madaki voiced apprehension over the bills’ potential economic effects, particularly for Nigeria’s northern region. They warned that the reforms could deepen poverty and worsen economic challenges for millions of Nigerians.

“If allowed, this bill would further plunge the entire northern region into misery, poverty, and economic woes,” Madaki stated, pledging to rally opposition within parliament. Ndume also shared his commitment to countering the tax reform, criticizing Nigeria’s adherence to policies promoted by the International Monetary Fund and World Bank, which he believes are detrimental to the country’s economic welfare. Pointing to Ghana’s recent tax reductions as an example, Ndume argued that Nigeria’s tax system requires a different approach to better serve its people.

The bills in question include the Nigeria Tax Bill 2024, designed to standardize the country’s fiscal policy, and the Tax Administration Bill, which aims to establish a comprehensive legal framework for tax governance. The Nigeria Revenue Service Establishment Bill seeks to replace the Federal Inland Revenue Service Act with a new Nigeria Revenue Service, while the Joint Revenue Board Establishment Bill proposes the creation of a tax tribunal and a tax ombudsman.

The federal government has defended the proposed reforms as essential for addressing inefficiencies and redundancies within Nigeria’s current tax system, which is often hampered by overlapping jurisdictions and lack of coordination among federal, state, and local tax authorities.