Kehinde Akinpelu
Member of the Presidential Committee on Fiscal Policy and Tax Reforms, Prof Muritala Awodun, has said that the tax reform bills are not anti-north.
He stated that the reforms are well thought out strategies to increase revenue generation by federating states and accelerate socio-economic development.
In an interview with journalists on Tuesday, he said the tax reform bills will stimulate the economy.
He said: “If nobody sees the present arrangement as anti-south, it is then playing politics to see the proposed reforms as anti-north. In Nigeria we play politics with everything particularly once it is affecting our personal interests, we make it look as if we are fighting for the people, when in the real sense we are fighting for our pockets and interests. We exploit the poor masses always to our own advantage.
“These bills I will term as anti-laziness, anti-inefficiencies, anti-incompetences, anti-indolence, and anti-poverty rather than anti north or south.”
Awodun who also is Consultant, Fiftyfifty Institute Limited, said some politicians and traditional rulers from the northern part of the country are opposed to some sections of the bill because of the proposed change in the allocation formula from 15:50:35 and 50:30:20 to 10:55:35 and 20:20:60.
He opined that the present arrangement favours equality and population against derivation, and that is now proposed in the new arrangement to favour derivation against the population and equality. According to him, this is the major crux of the matter.
He said: “While the present arrangement has encouraged indolence just like the federal character that encourages mediocrity, against hard work and excellence, the proposed arrangement is more in favour of derivation which will promote hard work and diligence.
“After over 64 years of existence we still want to continue as a nation in deprivation that must be spoon fed. We do not want to wake up to the reality that you have to work to eat, that you have to produce to consume, that you have to earn to spend, that you have to export to import, that you have to learn to lead, and that you have to sow to reap. We want to continue in our rent seeking economic arrangements because it provides us with easy access to cheap money and wealth. This is not sustainable.”
Awodun, a former Chairman, Kwara State Internal Revenue Service stated that the Tax Reform Bills are products of the Presidential Committee on Fiscal Policy and Tax Reforms set up by President Bola Ahmed Tinubu last year with specific mandates for a general overhaul of the tax, revenue and fiscal landscape of the nation.
He explained that the Bills are made up of 4 different bills namely; the Nigeria Tax Administration Bill, the Nigeria Revenue Service (Establishment) Bill, the Joint Revenue Board of Nigeria (Establishment) Bill and the Nigeria Tax Bill.
According to him, these four bills are what is being referred to by Nigerians as Nigeria Tax Reform Bills that are currently before the National Assembly.
Awodun said: “The genesis of this significant tax reform is predicated upon the fact that most of the existing tax laws are old and not aligning with the changes of our time. Moreover, the present structural arrangements of the administration of taxes and revenue in the country are producing suboptimal results as against the potential of the nation. The issue of revenue administration and its inherent inefficiencies cannot also be left unattended to if the nation must survive.
“We cannot continue to do things the same way and expect to get a different result, so the administration of President Bola Ahmed Tinubu considers it inevitable to address these issues, particularly to provide sustainable revenue generation institutions across the nation.
“For a very long time in this country, nobody has been bold enough to effect the required changes to out structural imbalances as a nation, and this administration has shown enough courage to do the difficult job of making essential structur
