The controversy surrounding the Tax Reforms Bill continues to grow, with mounting opposition from various states and key political figures. Kano State Governor, Abba Kabir Yusuf, has firmly rejected the proposed legislation, describing it as ill-timed, lopsided, and detrimental to national unity. During a recent New Year event in Kano, Governor Yusuf, represented by his deputy, Aminu Abdulsalam Gwarzo, stated that the reform bills were not the solution to the country’s economic woes. He emphasized that Kano State would not support any policy that negatively impacts the welfare of its people, especially in the northern region where poverty and hunger are pressing concerns.
The controversial bills, including the Nigeria Tax Bill, Nigeria Tax Administration Bill, Nigeria Revenue Service Establishment Bill, and Joint Revenue Board Establishment Bill, have faced significant backlash, particularly regarding the proposed revisions to the Value Added Tax (VAT) sharing formula. Critics, mainly from the northern region, argue that the bills would exacerbate regional inequalities and further impoverish the nation. President Bola Tinubu has attempted to address these concerns by directing the Ministry of Justice to collaborate with the National Assembly to fine-tune the bills. Minister of Information and National Orientation, Mohammed Idris, defended the government’s stance, calling the debates around the bills a vital part of the democratic process.
Despite these efforts, some governors, including Bauchi State Governor, Bala Mohammed, have doubled down on their criticisms, accusing the federal government of ignoring public concerns. Governor Mohammed warned that if the bills were passed without addressing the concerns of the states, it could have severe consequences on financial stability and worsen the hardships faced by Nigerians. He called on President Tinubu to listen to the people and reconsider the proposed reforms.
In response, Daniel Bwala, Special Adviser on Policy Communication to President Tinubu, dismissed claims that the president was not listening to Nigerians. He accused some governors of blackmailing the president over the issue and suggested they engage directly with their lawmakers to voice their concerns. Bwala emphasized that the president was following due democratic process and that the National Assembly would ultimately determine the fate of the bills.
Meanwhile, the Coalition of Northern Groups (CNG) has criticized the Presidency for its response to Governor Mohammed’s remarks, labeling the attack on the governor as unjust. The group argued that the presidency’s dismissive stance undermines constructive dialogue, which is essential for addressing the pressing issues surrounding the tax reforms. The CNG also expressed frustration with the economic hardships that have plagued the country, urging the government to focus on resolving infrastructure issues and improving power generation, which have hindered economic growth.
The ongoing debate over the tax reforms highlights the growing tension between the federal government and several state governments, particularly in the northern region, as the government works to implement its ambitious fiscal reforms amid rising public dissatisfaction.