The Senate has passed President Bola Tinubu’s Tax Reform Bills.
The bills, which were presented by Opeyemi Bamidele, the Senate Leader, we’re passed after a closed-door session.
The bills comprise 43 clauses and six parts would overhaul Nigeria’s tax system. Their aim is to drive revenue generation, simplify compliance, and support business growth.
They propose a reduction in corporate to 25 per cent tax, from the former 30 per cent and are also expected to protect small businesses and exempt the poor from tax payments.
Some Senators, such as Ali Ndume opposed the bills.
Borno Senator, Ali Ndume, was among those that opposed the bills, pointing out that there was insufficient consultations, issues with the Value Added Tax (VAT), and derivation as reasons.
He added that some of the proposals in the bills to would need constitutional amendment to be operational.
“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 This bill should be withdrawn.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 it back after getting the buy-in of the Governors, National Executive Council and the Traditional Rulers,” Ndume said.
However, the bills also had support from many Senators, including Seraike Dickson and the Chairman Senate Committee on Finance supported the bills.
The Senate President, Godswill Akpabio, ruled in favour of the lawmakers in support of the bills.
However, the Senate mandated its Finance Committee to hold a public hearing on the proposed bill to enable stakeholders express concerns about the bills.