The Northern States Governors Forum (NSGF), representing the interests of Nigeria’s 19 northern states, has officially opposed the proposed tax amendment bill currently under consideration by the national assembly. This stance was articulated during a joint meeting held with the Northern Traditional Rulers Council at the Government House in Kaduna.
The communiqué, presented by NSGF Chairman and Gombe State Governor Muhammadu Inuwa Yahaya, outlined the governors’ concerns regarding President Bola Tinubu’s proposed tax reform bills. Key elements of the proposed reforms include the Nigeria Tax Bill, Tax Administration Bill, and the establishment of a Joint Revenue Board, which would replace the Federal Inland Revenue Service with a new Nigeria Revenue Service.
A significant point of contention for the governors is the proposed shift of Value Added Tax (VAT) distribution to a derivation-based model. They argue that this change could place northern states at a disadvantage. “We note with dismay the content of the recent tax reform bill. The amendment to the distribution of VAT to a derivation-based model is particularly troubling, as it does not reflect where goods and services are consumed,” the communiqué stated.
The NSGF urged the national assembly to reject any legislation that undermines the interests of the northern region. They emphasized the need for equitable implementation of national policies to prevent marginalization of any geopolitical zone. “We are not opposed to policies that promote national growth and development, but equity must be at the forefront of these initiatives,” the governors asserted.
In addition to their concerns about the tax reform, the forum addressed the broader economic hardships facing the nation. The governors reassured citizens that both state and federal governments are actively working to alleviate these challenges, encouraging patience as relief efforts are implemented.
The communiqué also highlighted the importance of traditional institutions in maintaining peace and security in the region. The governors called for enhanced cooperation with security agencies to combat issues such as banditry, cattle rustling, and communal conflicts.
Regarding infrastructure, the NSGF underscored the urgent need for federal action to address persistent power shortages in northern states, exacerbated by frequent vandalism of electricity infrastructure. “We must diversify our energy supply and build additional transmission lines to enhance our energy resilience,” they stated.
The governors reaffirmed the agricultural potential of the north as a vital contributor to food security and economic growth. They committed to providing support to farmers, including access to financing and modern farming techniques. “Agriculture should not just feed our people; it must serve as a catalyst for industrialization and job creation,” the forum declared.
Additionally, the NSGF praised President Tinubu’s livestock reform initiatives, pledging to support measures aimed at enhancing the sector. They also acknowledged the impact of climate change on agriculture and committed to collaborating with the federal government to develop irrigation infrastructure.
The meeting, attended by governors from various northern states, reaffirmed the collective stance of the NSGF against the proposed tax amendment bill. As discussions around the bill progress, the forum remains focused on advocating for the interests of the northern region, ensuring that policies promote fairness, equity, and sustainable development for all Nigerians.
