Northern Oligarchy Give Reasons Why they Disagree with Tinubu’s Tax Reform Bills

President Bola Tinubu's unwavering stance on the controversial tax reform bills has sparked significant backlash from Northern leaders. The Northern Elders’ Forum, the League of Northern Democrats, and various members of the National Assembly have voiced their displeasure. According to the Northern Oligarchy, they disagree with the President because he bypasses democratic processes and ignores the need for inclusive consultations.

During his inaugural media chat in Lagos, President Tinubu acknowledged the contentious nature of the bills but remained firm, stating that there would be no reversal. He emphasized that the reforms were crucial to eliminating outdated colonial assumptions in Nigeria’s tax system.

Senator Mohammed Onawo of Nasarawa South criticized Tinubu for interfering with the legislative process. He stressed that the President, as a former legislator, should respect the established procedures and allow the National Assembly to scrutinize the bills thoroughly. Onawo emphasized the importance of letting the legislative body perform its duties without undue influence, noting that only after proper review and approval should the bills become law.

Onawo argued, “The President should let the bills go through the normal legislative process. If they get approval, they will become law; if not, they will die. It’s wrong for a President to impose a bill without giving lawmakers a chance to review it.”

Senator Ibrahim Gobir, a former representative of Sokoto East, accused Tinubu of tribalism. He criticized the allocation of value-added tax (VAT) revenue, arguing that it unfairly benefits specific states like Lagos, Rivers, and Ogun, at the expense of others. Gobir questioned the rationale behind directing VAT from other regions to Lagos, suggesting that such policies could create regional disparities and undermine national unity.

Gobir stated, “You cannot be the president of only the Yoruba; he is the President of the Federal Republic of Nigeria. All Nigerians, not just Yoruba people, voted for him. Why should he be a regional president when this bill will benefit only Lagos, Rivers, and Ogun states?”

The Northern Elders’ Forum (NEF) expressed concerns that Tinubu’s declaration undermined democratic principles. NEF spokesman Abdul-Azeez Suleiman warned that bypassing the legislative process could alienate lawmakers and create unnecessary political tension. He called for the President to engage in more inclusive consultations and ensure that all stakeholders’ views are considered.

Suleiman remarked, “The President’s strong assertion raises concerns. The potential for bypassing the legislative process undermines democratic governance. By pre-emptively declaring the bills’ passage, the President risks alienating lawmakers and creating unnecessary political friction.”

The League of Northern Democrats (LND) also cautioned Tinubu against rigidity. Umar Sani, a former spokesman for ex-Vice President Namadi Sambo and a pioneer LND member, acknowledged the need for tax reform but emphasized the importance of addressing specific concerns, such as inheritance tax, which he argued was against religious principles.

Sani commented, “We know the country requires tax reform to fight corruption. However, there are areas we want the government to review, like the inheritance tax, which is against religion. We have given suggestions on areas we don’t agree with. The President should not be rigid in decision-making.”

On September 3, 2024, Tinubu submitted four tax reform bills to the National Assembly, following recommendations from the Taiwo Oyedele-led Presidential Committee on Fiscal and Tax Reforms. These bills include:

The Nigeria Tax Bill 2024: This bill aims to provide a comprehensive fiscal framework for taxation in the country.

The Tax Administration Bill: This bill seeks to establish a clear legal framework for all taxes, reducing disputes and enhancing efficiency.

The Nigeria Revenue Service Establishment Bill: This bill proposes repealing the Federal Inland Revenue Service Act and establishing the Nigeria Revenue Service.

The Joint Revenue Board Establishment Bill: This bill aims to create a tax tribunal and a tax ombudsman to oversee tax-related disputes and ensure fair practices.

The President’s firm stance has generated mixed reactions across the nation. While some argue that the reforms are necessary to modernize Nigeria’s tax system, others believe that the lack of inclusive consultation and the perceived regional bias could exacerbate existing divisions.

Political analysts have noted that the President’s approach could have far-reaching implications for his administration’s relationship with the National Assembly and other key stakeholders. The success of the tax reform bills will depend not only on their content but also on the process through which they are reviewed and implemented.