PUNCH
In response to mounting opposition, President Bola Tinubu has started sending emissaries to the northern elite to clear the way for the passage of the tax reform bills, Sunday PUNCH reports.
Sources in the Presidency said Tinubu was also consulting with the political class for support on the bills.
An official, who spoke on condition of anonymity because he was not authorised to speak to the press on the matter, said, “What I know is that he (President Tinubu) has been consulting with some of the northern elite at individual level and as groups, even before the holidays.”
Another top source said the President was using “back channels” and other means to win over opposition to the bills.
“He is reaching out through different channels that are available to him to make sure that the grey areas of the bill are smoothened out,” the source added.
However, northern governors have insisted that nothing will change their minds on the bills.
While saying they remained unmoved by Tinubu’s overtures, they demanded that the bills be withdrawn from the National Assembly for further consultation.
The tax reform bills were introduced to the National Assembly by the executive in October 2024.
They include the Nigeria Tax Bill 2024, the Nigeria Tax Administration Bill, the Nigeria Revenue Service (Establishment) Bill, and the Joint Revenue Board (Establishment) Bill.
Northern govs adamant
Following the introduction of the bills, the Northern Governors Forum immediately rejected them, arguing that the proposed model for the distribution of Value Added Tax would severely disadvantage the region.
In a communiqué released on October 28, the forum expressed deep concern, stating, “The forum notes with dismay the contents of the recent Tax Reform Bills forwarded to the National Assembly. The reforms, particularly the proposed amendment to the distribution of VAT to a derivation-based model, are detrimental to the interests of the north and other sub-nations.”
The communiqué further explained that under the proposed system, VAT is remitted based on the location of a company’s headquarters and tax office, as well as where the services and goods are consumed.
The governors argued that the approach would undermine the region’s economic well-being.
As a result, the forum unanimously rejected the proposed amendments and urged members of the National Assembly to oppose any bill that could harm the interests of the people of the North.
The Bauchi State Governor, Bala Mohammed, during an interview took a swipe at Tinubu over the bills, describing them as “anti-northern” and favouring only a section of the country.
The governor warned that if the policies continued, the northern region would “show its true colours” in response.
However, President Bola Tinubu, during a media chat in December, said he had no intention of withdrawing the bills.
He said, “Tax reform is here to say. We cannot just continue to do what we were doing yesteryears in today’s economy. We cannot retool this economy with the old broken tools.
“You cannot satisfy uniformly the larger community of tax evaders. This tax reform is pro-poor; the vulnerable are not to pay taxes. All we are asking for is to widen the tax net and bake the cake larger so that we can share a larger meal.
“They will still ask for this consultation no matter how long I delay it. The hallmark of a good leader is the ability to do what you have to do at the time it has to be done. That is my philosophy.”
In an interview with Sunday PUNCH, the Chairman of the Northern Governors Forum, Governor Muhammad Yahaya, reaffirmed that the northern governors had not relented in their opposition to the bills.
Yahaya, who also serves as the Governor of Gombe State, said the governors would remain “adamant” until the President changed his stance.
A spokesperson for the governor, Ismaila Misilli, said, “The governors of the northern region have already spoken about their position, and they remain adamant.”
He emphasised that even before people became familiar with the contents of the bills, Yahaya had raised concerns, expressing his perspectives on the matter.
“That position has not changed.
“The governor will not be confrontational about it, as he serves as chairman to colleagues in both the APC and the PDP,” Misilli added.
Also, Governor Babagana Zulum of Borno State, maintained his opposition to the bills.
Zulum’s Senior Special Assistant on New Media, Abdulrahman Bundi, reiterated on Friday that the governor’s stance remained unchanged.
“The governor has clearly stated his position, and he is not changing his mind. It is not in his character to play double standards,” Bundi affirmed.
“We have weighed all the options, considered the pros and cons of the bills, and have arrived at this decision. Therefore, the stance remains. There is no plan for him to back down or alter his position.”
Also, the Senior Special Assistant on Public Affairs to Governor Abdullahi Sule of Nasarawa State, Peter Ahemba, said northern governors were united in their opposition to the bills.
Ahemba, in an interview with Sunday PUNCH, said the North had observed that the tax reform bills would only be favourable to states in the South.
He noted that the plan to stop the bills was not the idea of a single governor or National Assembly member, but “the collective responsibility for all political players from Northern Nigeria.”
He said, “You could see the Senators from the North and House of Representatives members from the North speaking in one voice. It is the North speaking in one voice on the matter.
“Also, the stand of the Northern Governors Forum is very clear on the matter. They are urging the President to step down the tax reform bills and allow for further consultations. They want him to consult widely so that people will actually see reasons with the bills.
“For now, the perception is that the tax reform bills will only favour some states like Lagos and others while the North will be shortchanged, and in that regard, the President needs to convince the North about the bills. The Tax Reform Bills that we are talking about is beyond an individual governor. The entire Northern Governors Forum and members of the National Assembly are speaking on this matter with one voice.”
Also, the Kano State Government described the bills as detrimental to the welfare of Nigerians, particularly the northern region.
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