Following the House of Representatives’ adoption of reports on four key tax reform bills, the Chairman of the House Committee on Finance, James Faleke (APC-Lagos), has assured Nigerians that the resulting legislation will be broadly accepted and beneficial to the nation. The assurance came on Thursday after a rigorous review process culminating in the bills’ passage.
The bills, that aim to modernize Nigeria’s tax system, include the Nigerian Tax Bill, the Tax Administration Bill, the Revenue Tax Board Bill, and the Nigerian Revenue Service Establishment Bill.
“These bills underwent three full days of public hearings, with input from over 80 key stakeholders. Afterward, we held an eight-day retreat to debate each clause,” Faleke stated, highlighting the extensive deliberation involved in shaping the legislation.
“I am glad that House members recognized our thorough work and approved all our recommendations.”
Faleke expressed his gratitude to fellow lawmakers, the Nigerian public, and the House leadership for their contributions and support throughout the process. He also commended President Bola Tinubu for prioritizing the tax law reforms, emphasizing the urgent need to update existing laws, some of which date back to 1959.
“We cannot continue using outdated tax laws that no longer meet our business, survival, and revenue needs,” he stressed, underscoring the critical role of these reforms in the country’s economic advancement.
Deputy Committee Chairman, Saidu Abdullahi (APC-Niger), emphasized the extensive debate surrounding the bills, noting their unprecedented engagement within the 10th Assembly. He lauded Speaker Tajudeen Abbas for fostering consensus among stakeholders and ensuring that the legislative process was inclusive and considered a wide range of perspectives.
“The committee’s recommendations reflect the contributions of various stakeholders,” Abdullahi stated, highlighting the collaborative nature of the reform process. “These were never seen as perfect documents. The Executive made proposals, and the public hearing allowed Nigerians to refine them. Lawmakers have now endorsed the final version.”
Ikeagwuonu Ugochinyere (PDP-Imo), representing the opposition, echoed the sentiment of transparency and inclusivity. “In spite of being in the opposition, we are proud of this historic moment. It will expand the tax net and increase government revenue,” he said.
“This reform will enhance tax collection efficiency while protecting small businesses. That is why we worked together to ensure its passage,” he added
Ugochinyere further noted that consultants and the executive branch had made significant adjustments to reflect public interest, underscoring the commitment to a balanced and fair tax system.
Benson Babajimi (APC-Lagos) added that all stakeholder concerns, including sensitive issues like inheritance tax, derivation, and Value Added Tax (VAT), were carefully considered during the deliberations.
“This is a great day for Nigeria,” Babajimi concluded. “The necessary reforms have been approved by the House, and we now await Senate concurrence.” The passage in the Senate would be the next step in making these reforms a reality.
