Only Lagos State will benefit from proposed tax reform — Gov. Zulum

Borno State Governor, Professor Babagana Zulum, has revealed why the northern governors are urging President Bola Tinubu to reconsider the contentious tax reform bills.

This comes following the stiff resistance the tax reform bills have faced from different quarters, especially from elites in Northern Nigeria.

The Northern Governors Forum, the Northern Elders Forum, the National Economic Council, and Senator Mohammed Ali Ndume, among others, have openly called for the withdrawal of the bills because they do not reflect the region’s interests.

CityNews recalls that last week, Zulum said the tax reform bills will cause backwardness in the North and Nigeria in general.

During his appearance on Channels Television’s Sunday Politics, Zulum clarified that the Northern Governors Forum is not opposed to the administration but rather seeks time for consultation.

Zulum emphasised that the northern governors are not against President Tinubu, considering the region contributed significantly to his 2023 electoral victory, with over 60 per cent of his votes coming from the north.

The governor expressed concerns that if the bill passes through the National Assembly, states would be disadvantaged, as Lagos State would be the primary beneficiary of the policy.

“I’m not withdrawing my statement; to my own observations, if this tax bill is passed, the North, South East, South South, and South West will all be shortchanged. The only state that will benefit is Lagos.”

President Tinubu in October asked the National Assembly to pass the bills into law.

The bills are the Joint Revenue Board of Nigeria (Establishment) Bill 2024-SB.583; the Nigeria Revenue Service (Establishment) Bill 2024-SB.584; the Nigeria Tax Administration Bill 2024-SB.585; and the Nigeria Tax Bill 2024-SB.586.

Despite the rejection, the tax reform bills passed a second reading in the Senate on November 28.