The pan-Yoruba socio-political organization, Afenifere, has endorsed the tax reform bills submitted by President Bola Tinubu to the National Assembly.
This endorsement comes amidst ongoing debates and pushback from various stakeholders, including Northern Governors, elder statesmen, and lawmakers on the matter.
Afenifere’s Organizing Secretary, Abagun Omololu, made the organization’s position known in a statement on Monday.
According to Omololu, the proposed bills have the potential to offer significant economic advantages for every region in Nigeria, including the northern area.
“Afenifere is in support of the tax reform for its promise of economic revival,” Omololu stated. “We have noted that the bills are a crucial step towards stimulating the Nigerian economy, hence with the tax system reform, we hope for improvement in revenue generation at both federal and state levels” ¹.
Omololu emphasized that the improved revenue generation is essential for funding critical infrastructure and social services that will benefit all Nigerians, including those in the North. He also highlighted the proposed changes to VAT administration, which are designed to align revenue sharing more closely with consumption patterns.
“After due scrutiny and consideration, we agree that the proposed changes to VAT administration are designed to align revenue sharing more closely with consumption patterns, affording states funding based on actual economic activity rather than historical allocations,” he statedm
The tax reform bills, which include the Nigeria Tax Bill 2024, the Tax Administration Bill, the Nigeria Revenue Service Establishment Bill, and the Joint Revenue Board Establishment Bill, have generated intense debate and controversy since their submission to the National Assembly.
While Afenifere’s endorsement is a significant development, it is worth noting that other stakeholders, including Northern states and lawmakers, have expressed strong reservations about the bills.
For instance, the Governor of Borno State, Mr. Babagana Zulum, has warned that the region would “lose” if the bills are passed.