Atiku Bagudu, the Minister of Budget and Economic Planning, has said that the issues and debates over the Tax Reform Bills are healthy as long as they are constructive and are done with good intentions.
He highlighted that President Bola Tinubu is a committed democrat who believes in Nigeria, and understands the right of people to debate.
The budget minister called on all stakeholders to lobby, interrogate the process, talk to their representatives, and make their input for a better outcome.
Bagudu pointed out that the exercise was not a monologue but people are expected to make reasonable, respectable, proper and nationalistic contributions to whatever legislation is laid before the National Assembly in order to get a better outcome.
However, he said what is annoying is when people, in order to make a point, resort to sentiments that can weaken our fledging Federation.
The minister explained that one of the intended benefits of the tax legislation, is to simplify tax compliance for small companies, noting that the Federal Government has been investing in Small Medium and Enterprises (SMEs), Nano credits, and want them to be the engine of growth as such an unwieldy list of legislations that they don’t even know how to comply with would achieve the goal.
“We are under pressure that Nigeria maintains higher level of growth; we want to generate growth. We will not do anything that will sabotage employment generation. Any measure we take is intended to generate economic activity and growth. Indeed, Mr. President is leading that drive,” Bagudu said.
The Minister of Budget and Economic Planning further said, “We should not get angry at each other; we should complement each other. We are in hurry to achieve development. I am very confident that all the measures that have been taken are for the good of all. We should lobby, interrogate, talk to your representatives, make your input.
Try to under it, don’t judge and compare it to other countries. It’s not a monologue, we are dealing with a president who is very democratic, he listens to others, he expects people to make contributions. Whatever legislation it is, let people make reasonable respectable, proper nationalistic contributions so that we get a better outcome.”
Bagudu, who stated this when he spoke to a select group of journalists at the sidelines of the Bankers’ Committee Retreat meeting in Abuja threw more light on why the Tax Reform Bills should take the usual legislative course.
“The President, and indeed his government is determined that Nigeria will take its place of pride in the community of nations. We are doing infrastructure works that show the kind of commitment he has to Nigeria. He is supporting different States in their various quest to develop.
He has requested all State Governors to give him what can be done more in their States so that more economic activities can be generated. Some of the reform initiatives are energy transition, for example, is for everyone in Nigeria, additional investment in security is for everyone in Nigeria.
“I am just coming out of the Bankers’ Committee meeting part of it, they were complaining that they don’t link the windfall tax. That’s Nigeria for you. Maybe some Nigerians may be say it is good that the banks have been taxed.
“One of the intended benefits of this tax legislation, for example, is to simplify tax compliance for small companies. We have been investing in SMEs, Nano credits, we want them to be the engine of growth. How can they be engines of growth if you have unwieldy list of legislations that they don’t even know how to comply with.
“We are under pressure that Nigeria maintains higher level of growth; we want to generate growth. We will not do anything that will sabotage employment generation.
Any measure we take is intended to generate economic activity and growth. Indeed, Mr. President is leading that drive,” Bagudu said.
Giving more insights, he stressed, “We have a President, Asiwaju Bola Ahmed Tinubu who is a very committed Nigerian, he believes in Nigeria, he is committed to Nigeria, and for him all parts of Nigeria are equal. There is no legislation under him or action that is designed against any one part of the country.
“I happen to be the Minister of Budget and Economic Planning. I am a member of the Presidential Economic Advisory Team. I participate in almost all meetings where decisions are taken as to resource allocation, and I saw equity, I supervise the budget process, I have seen how allocations are determined and how support is given to each part of Nigeria so that we can do better.
“We have to recognize that some legislations by nature are difficult even in advanced countries. Tax is a very big issue in economic development. It determines elections, even in US. Today the British economy, Liz Truss had challenge with tax. The British Prime Minister Sir Keir Starmer is facing a challenge because of taxation and debate about taxation. If you recall historically even in the 1980s, Ronald Reagan, supplies side economies, there are all tax issues. Today Donald Trump is talking about tariffs, it is all about taxation. We are not different.
“What is happening in Nigeria is that part of the reforms, there are laws that have been there for long. Today if one looks at one of the tax bills, particularly the one that is generating the most controversies is about 247 pages long, a lot of it with definitions, technical jargons that you need guidance in order to understand.
“Secondly, that legislation repeals I think 12 laws that have been existing. If you are a small business man, woman or a bank, you need a compliance unit that unders those 12 laws in order not to run contrary to it. Equally, that legislation is amending about other 19 laws as well as revoking laws.
“Why this controversy? If a legislation is submitted to the National Assembly every part of Nigeria is represented. It could be that I am from a fishing community, and if somebody say under that river there is a Diamond mine and I have been given a licence to mine, and I have the right to ask, what would happen to my fishing? And that is why I am there, and then debate it, and say, even if we are doing it for the greater good, how can we accommodate my fishing communities?
“It is not a monologue. Even when the Senate says six weeks for public hearing, we can debate about time, about argument, but what is wrong is for us, given the great effort that we are making to put our economy on the right direction to be swayed by arguments of tribalism, religion, etc. sentimental arguments.”
