Nigerian Citizens Backs President Tinubu On Tax Reform Bill

The  group during a press briefing in Abuja remarked that the Bill when passed into law would assist to cushion the effects of hardship witnessed in the country and improve the socio- economic well-being of the citizens.

Addressing journalists on behalf of the group, the national coordinator of the group,  Mr. Raphael Okorie noted that taxation would service the common good and prioritize  the most vulnerable in the  society.

“When enacted into law, The Tax Reform legislation, shall provide opportunity for a fairer redistribution of wealth, allowing the government to prioritize the needs of the underprivileged. If we consider the notion that the true measure of any society is how the society treats its most vulnerable members, then the beauty of the Tax reform Bill lies with it’s intent to make richer individuals and entities to contribute proportionally more.” He said.

Okorie remarked that the Bill would  definitely reduce the tax burden on the poor and ensure that funds are available for public services that benefit marginalized communities.

In addition to making the rich pay more taxes, he said, the Bill seeks to promote equity and fairness.

“This proposed game changer is designed to ensure that high-income earners and large corporations contribute proportionally to national development. “It no doubt, corroborates the assertion that from whom much is given, much is expected.”Okorie informed.

“We categorically reject the Nigeria Governors Forum’s proposed VAT sharing formula, which allocates 50% based on equity, 30% based on derivation, and 20% based on population. This formula does not take into account productivity and economic growth, which are critical factors in determining a state’s contribution to the national economy. “ He said.

The National Coordinator noted that by ignoring productivity, the formula may inadvertently penalize states that are making concerted efforts to diversify their economies and promote economic growth.

He however urged the National Assembly to reconsider the proposal and adopt a more nuanced approach that rewards productivity and economic growth.

He said that the the reform is aimed at stimulating small and medium-scale enterprises (SMEs), encouraging grassroots entrepreneurship, and fostering economic diversification, as well as sustainable growth for the future generations.

“Specifically, we commend the Tax Reform Bill’s provisions that exempt individuals and households earning less than #1 million per year and companies earning less than 50 million per year from taxation. This bold initiative demonstrates the government’s commitment to alleviating poverty and promoting economic inclusivity. “ Okorie stated.

By shielding low-income earners and small businesses from the tax burden,he  noted,  the Bill will  stimulate economic growth, create jobs, and improve living standards. Given its pro-poor orientation, saying that  they  strongly advocate for an accelerated passage of the Tax Reform Bill to ensure its timely implementation and realization of its benefits for the most vulnerable segments of the society.

He  further commended  the President and his economic team for conceiving the idea of Tax Reform in the country.