The lawmaker representing Borno South, Senator Mohammed Ali Ndume has once again opposed the proposed tax reform bills initiated by President Bola Tinubu’s administration.
In a statement, Ndume warned that the implementation of these reforms could aggravate the already severe economic situation facing Nigerians.
He kicked against the timing of the reforms, noting that it may place extra financial burden on citizens and businesses.
He urged the government to reconsider its approach, stressing that the current economic climate may not be conducive to such serious fiscal changes.
“These reforms may worsen the current economic hardship. I insist that the tax reform bills be withdrawn for broader consultations with critical stakeholders, including state and local governments and the private sector,” Ndume said.
Speaking further in the statement, Senator Ndume, argued that the Federal Inland Revenue Service (FIRS) should focus on expanding the tax net and improving collection efficiency rather than introducing additional taxes.
“The FIRS should concentrate on expanding the tax net and collecting more revenue. Additionally, there must be greater accountability and transparency in the management of public funds,” he stated.
He also called for increased scrutiny of commercial banks, emphasizing that their huge annual profits should translate into higher tax contributions.
The vociferous lawmaker further stated that the need for structural reforms within the government, highlighting the imbalance in Nigeria’s budget allocation.
“Our personnel and overhead expenditure for 2024 accounts for 50 to 60 per cent of the total budget. Yet, as we approach the end of the year, only 20 per cent of the capital budget has been implemented, while recurrent expenditure has been fully exhausted,” Ndume revealed.
He argued that addressing inefficiencies in government operations, rather than imposing additional taxes, would produce better outcomes for the nation’s economy.
While rejecting regional stereotypes, Ndume reiterated the North’s role as a contributor to national development, countering claims of dependency.
“The North is an asset, not a liability. All states and zones need one another for socio-economic survival and development,” he asserted.
However, Ndume stressed the relevance of prioritizing and timing reforms correctly to gain public support and ensure their effectiveness.
“Even with reforms, you must prioritize, time them correctly, and secure the buy-in of Nigerians because this is a democracy – government of the people, for the people, and by the people,” he concluded