The Speaker of the House of Representatives, Abbas Tajudeen, on Monday, called for a collective and critical examination of the proposed tax reform bills to address Nigeria’s longstanding revenue challenges.
He made the call at the People’s House Interactive Session on Tax Reform Bills held at the National Assembly Complex in Abuja.
The speaker outlined the pivotal role of these legislative proposals in shaping Nigeria’s fiscal future.
The session focused on four key bills: the Nigeria Tax Bill, the Nigeria Tax Administration Bill, the Nigeria Revenue Service Establishment Bill, and the Joint Revenue Board Establishment Bill.
These bills submitted by the executive arm are designed to expand Nigeria’s tax base, improve compliance, and establish sustainable revenue streams for national development.
Abbas said: “These bills represent critical proposals from the executive to expand Nigeria’s tax base, improve compliance, and establish sustainable revenue streams for our nation’s development.”
He described the session as an opportunity for lawmakers to deepen their understanding of the bills, engage in constructive dialogue, and address contentious areas.
Abbas, who spoke on the urgency of Nigeria’s tax reform, lamented that the nation’s low tax-to-GDP ratio of just 6% was significantly below the global average and the World Bank’s recommended minimum of 15%.
“In every modern state, taxes are the bedrock of public revenue, providing the resources required to deliver education, healthcare, infrastructure, and security,” he noted. “Yet, Nigeria, despite being Africa’s largest economy, struggles with a tax-to-GDP ratio of just 6 percent—far below the global average,” he stated.
This gap, he argued, exacerbates reliance on debt financing, a trend that undermines fiscal stability and jeopardizes the nation’s future.
The speaker stressed the need for a fair and transparent tax system that balances public revenue generation with the burden it imposes on citizens and businesses.