The House of Representatives has assured Nigerians that the proposed tax reform bills will be thoroughly scrutinised to ensure fairness, transparency, and inclusivity.
Speaker of the House, Mr. Abbas Tajudeen, gave this assurance at a public hearing on the bills, emphasising that the reforms aim to expand Nigeria’s tax base, improve compliance, and establish sustainable revenue streams for national development.
Abbas said; “The House will scrutinise these bills thoroughly to ensure they serve the best interests of Nigerians. Taxes should be fair, transparent, and justifiable, balancing the need for public revenue with the burden they place on individuals and businesses.”
He noted that despite being Africa’s largest economy, “Nigeria’s tax-to-GDP ratio remains “critically low at 9.4%, compared to South Africa’s 21.6% and Kenya’s 14.1%. The Speaker stressed that comprehensive tax reforms are necessary to reduce reliance on debt financing and ensure fiscal stability.”
The Chairman of the House Committee on Finance, Mr. James Faleke, highlighted that outdated tax laws have hindered revenue generation, making reforms crucial for economic growth.
He noted that only 35 million Nigerians pay tax, and just 9% of registered companies are in the tax net.
Stakeholders, including government agencies, business leaders, and civil society representatives, actively participated in the hearing, offering insights to refine the proposed legislation.
The hearing marks a significant step in Nigeria’s efforts to modernize its tax system, foster economic stability, and enhance public revenue for critical infrastructure and development.
Mercy Chukwudiebere
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