The four tax reform bills proposed by President Bola Tinubu in 2024 have successfully passed the second reading in the House of Representatives.
The bills, which were introduced six months ago following recommendations from the Taiwo Oyedele-led Committee on Fiscal Policy and Tax Reforms, advanced in the Green Chamber on Wednesday. They include the Nigeria Tax Bill 2024, the Tax Administration Bill, the Nigeria Revenue Service Establishment Bill, and the Joint Revenue Board Establishment Bill.
With the bills now having passed the second reading, they will proceed to a public hearing for further consideration.
The new tax proposals have sparked considerable controversy, facing strong opposition from various quarters, including northern governors and opposition politicians, many of whom have called for their withdrawal from the National Assembly.
While several lawmakers voiced their support during Wednesday’s plenary session, concerns were raised by lawmaker Sada Soli, who cautioned that some sections of the bills might conflict with the 1999 Constitution. Soli emphasized the need for clarity on the issue of derivation to prevent ambiguity.
Other lawmakers also highlighted the 40 existing acts the bills seek to amend, urging that they be presented before Parliament. Additionally, concerns were raised about provisions in the bill regarding multiple taxation on property purchases, which would require both the buyer and seller to pay taxes. Lawmakers called for a review of this provision to avoid undue burdens.
