The Federal Government has said that the Tax Reform Bills currently generating uproar, especially in the northern part of the country, are not meant to undermine Nigeria’s democracy.
This is as the Federal Government has started wooing the north to buy into the proposed executive bills.
Minister of Information and National Orientation, Mohammed Idris, who spoke on behalf of the Tinubu administration at a recent event, said that decision to introduce the bills was not to undermine democracy.
Idris stated this while giving an address at the Nigerian Institute of Public Relations (NIPR) 2024 Annual Public Lecture/AGM and Awards on Saturday in Kaduna.
The event, organised by the state chapter of NIPR, had the theme “Tax Reform: The Role of Public Relations in Fostering Constructive Dialogue for National Economic Renaissance.”
The minister revealed that the country’s tax administration system is long overdue for reform, adding that the existing tax laws are outdated on account of design and implementation flaws as well as the general attitudes of taxpayers toward taxation.
Speaking on the theme, the minister noted that the ongoing review of the country’s tax laws and realities is timely and crucial, especially as part of a larger set of macroeconomic reforms aimed at setting the country on an irreversible path of growth and development.
According to him, “The full details of the new tax bills are available in the public domain. One must commend the Presidential Committee on Fiscal and Tax Reform for an excellent job in this regard, in terms of public engagement. So, I will not attempt to go over these details again here.
“What I will say is that it is very inspiring and heartwarming to see Nigerians from all walks of life coming out to express their views and opinions on these matters of critical national importance, as such is the very essence and meaning of democracy.
“In spite of the challenge of trust deficit that tends to crop up around matters of governance in Nigeria, we have still been able to have what can be adjudged as robust debate on this sensitive issue.
“President Tinubu has also been very clear that the Executive will listen to and work with all stakeholders to ensure that all concerns are duly and comprehensively addressed.
“We will continue to ensure open lines of communication and engagement with the National Assembly and all other stakeholders on these taxation bills.
“We are all in this together, as one people, one nation, and just as we are being called upon to make collective sacrifices, we will also collectively reap the abundant social and economic benefits of all of these necessary reforms.”
The minister also affirmed that President Tinubu will continue to implement an ambitious fiscal reform agenda that will devolve more resources to state and local governments, and ultimately to the people, in the spirit of true federalism, adding that citizen engagement will become ever more critical.
Idris said: “Those of us who manage communications for the Federal Government understand that we have a lot of work on our hands. We are up to the task, and we will continue to deploy innovative and comprehensive mechanisms to provide the public with insights and enlightened information that will bolster public trust and confidence in the reform narratives of the Renewed Hope agenda.
“We will also be looking to count on the strong support of the NIPR, among many other stakeholders. Which is why this dialogue is very much welcome, and commendable.
“In closing, let me make it clear that, even with our keenness for fundamental reform of Nigeria’s governance and fiscal systems, the Tinubu administration will never do anything to undermine the ideals of participatory democracy.
“The current mandate and responsibility that we have for governing and reforming Nigeria at this time came by way of democracy, and we will continue to live up to those very high democratic standards and expectations.”
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The Executive Chairman of the Federal Inland Revenue Service (FIRS) and Chairman, Presidential Fiscal Policy and Tax Reform Committee, Zacch Adedeji, who spoke at the event, said that the tax reforms were to streamline the nation’s fiscal framework and improve operational efficiency.
Adedeji, represented by Kehinde Kajesomo, Deputy Director, FIRS, said the Federal Government’s introduction of the reforms seeks to correct structural imbalances.
He said: “This is particularly an overdependence on oil revenues, which has resulted in fiscal challenges, encouraged corruption, stirred regional tensions, and fostered an inefficient economy amid soaring debts.”
Adedeji emphasised that the bills would collectively improve Nigeria’s revenue profile and make the business environment more conducive and internationally competitive, transforming the tax system to support sustainable development.
Earlier, the President of NIPR, Dr Ike Neliaku, sought the institute’s support for the expected reality and implementation of the tax reform in the country by using the vocal voices of the institute across the country.
Also, the lead discussant, Professor Mustapha Bagudo Muhammad, gave a thorough insight into the numerous advantages of the reform while all the panelists including Senator Shehu Sani, Professor Cosmos Eze and Professor Hauwa’u Evelyn Yusuf all gave their nod to the proposed tax reform.
Senator Sani, in his submission, said countries like Saudi Arabia and United Arab Emirates have started taking measures to address their post-oil feature, adding that the tax reform is one of the very important steps for Nigeria and Nigerian economic feature.
Also speaking at the event, Islamic scholar, Sheikh Ahmad Gumi and former Chairman Christian Association of Nigeria (CAN) in Kaduna State, Rev. Dr. John Joseph Hayab, both argued that the tax reform was necessary, but called for more awareness creation and sensitisation.
Gumi added: “It is not only tax that is needed to be reformed in Nigeria, but all other sectors needed it.”
Meanwhile, the Nigerian Supreme Council for Islamic Affairs (NSCIA) has called the federal and state governments, the National Assembly and the political class to immediately deflate the current unnecessary tension and unwarranted polarisation on the tax reform bills.
The apex Islamic body in Nigeria admonished that, instead of the unnecessary tension, trust building and extensive consultation, among others, are needed now.
This was contained in the communiqué issued at the end of its 10th meeting of the Expanded General Purpose Committee (EGPC) of the Council held on Sunday, December 1 in Abuja. The meeting was presided over by the NSCIA President-General and Sultan of Sokoto, Alhaji Muhammad Sa’ad Abubakar.
“After extensive deliberations, the council called on the federal and state governments, the National Assembly and the political class to immediately deflate the current unnecessary tension and unwarranted polarisation on the tax reform bills.
“What is urgently needed are trust building, extensive consultation and mature and genuine dialogue on the tax reform bills before the National Assembly,” the communique, which was signed by NSCIA Deputy Secretary-General, Professor Salisu Shehu, read.
