…..As Bill scales second reading
By Christiana Ekpa
The four tax reform Bills transmitted by President Bola Ahmed Tinubu to the National Assembly for passage into law on Wednesday passed by the House of Representatives at the second reading stage, after a marathon debate by members.
This was coming after weeks of initial strong opposition to the proposals over certain provisions therein, forcing Speaker Tajudeen Abass to delay further consideration “to allow various Causes to consult widely”, and also assured that “the House will ensure that these reforms are equitable and considerate of the needs of all Nigerians, particularly the most vulnerable”.
To set the stage on Wednesday, the Speaker, who presided over plenary of the day asked Majority Leader, Hon. Julius Ihonvbere to move that all four bills be consolidated as one for purpose of day’s debate, after which the Leader presented its general principles before members.
The Leader said “the focus of the tax reform is essentially to ensure a total overhaul and modernization of our system. First, to radically update our modern rules by law, second, to drive a direct economic transformation…
“We’ve had a lot of debates on and off this floor. We’ve had caucus meetings to discuss and look at the benefits and advantages of the bills, andto identify some of the shortcomings. And we know that even for sub-national governments there are a lot of exemptions in the bills. Our governors have spoken very clearly and loudly”.
Scores of members spoke on their pcerptions of the bill, before it was passed and sunsequently referred to the House Committee on Finance for further legislative action.
Minority Leader, Hon. Kingsley Chinda said while all laws have their spirits and letters, and no doubting the need to rejig our tax System, “I the spirit is good but the letters are faulty, and those letters we will monitor and have them corrected. Since we’ve all agreed with the spirit and the intent, let’s pass the bill for second reading”, he said.
Kingsley Chinda who appeared to be speaking the mind of minorities said while they support the spirit behind the four bills, they have issues with some of the letters of the proposed laws.
Chinda said the bills seek to rejig the nation’s tax system for effective revenue generation, adding that for every law, there is the spirit of the letters.
The Rivers lawmaker said: “We have all agreed that the spirit behind the four bills is good. But we have issues with some of the letters of the bills. Why we oppose some letters of the bills, we support the spirit and want to assure Nigerians that we will watch those letters and at the appropriate time, we will ensure that the letters are corrected in the interest of Nigerians.”
He advocated the reduction in the Value Added Tax, saying it is possible to reduce tax, while efforts should be made to tidy up all areas of conflict.
Also, Chairman of the Committee on Defence, Hon. Babajimi Benson cautioned that as the progresses in processing the bill, care must be taken to see that all the issues of concern raised, especially on derivation are addressed “in the interest of equity, justice and fairness”.
On his part, Deputy Chairman of the Committee on Army, Hon. David Ogewu said it was good that President Tinubu thought it wise to harmonise Nigerian tax laws to end duplication, and appealed to his colleagues to see reasons from such perspectives, adding that when the positive impacts start, “the fight against insecurity should be intensified so that farmers can return to their farms”.
In the views of Hon. Ahmed Jaha, the issue of Personnel Income Tax must be clearly defined, stating clearly what will be taxed, what will be exempted.
