Senator Orji Uzor Kalu, representing Abia North in Nigeria’s Senate, has expressed concerns about how the federal government handled the process of its proposed tax reform bills. Speaking during an interview with Arise Television on Monday, Kalu pointed out that key stakeholders were not adequately involved in the formulation of the bills.
The senator highlighted that crucial bodies such as the National Executive Council (NEC), the Nigeria Governors’ Forum (NGF), and the Council of State were excluded from discussions regarding the controversial tax proposals. This lack of consultation, according to Kalu, has led to opposition from various quarters.
“As I told you before, the bill is very progressive. It will bring back fiscal federalism. Many senators have not been briefed. I think the federal government made a mistake. The initiators of the bills would have briefed the National Economic Council, Governors’ forum,” Kalu said during the interview.
The tax reform bills in question—including the Nigeria Tax Bill 2024, the Tax Administration Bill, the Nigeria Revenue Service Establishment Bill, and the Joint Revenue Board Establishment Bill—have been before the National Assembly since October 2024. Despite facing significant resistance, the bills gained traction last week after passing a second reading in the Senate.
Critics, including the Northern Governors’ Forum and the National Economic Council, have called for the withdrawal of the proposals, citing insufficient stakeholder engagement. However, economic experts have come out in support of the reforms, arguing that they have the potential to significantly enhance Nigeria’s revenue base.
Taiwo Oyedele, Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, also acknowledged the controversy surrounding the bills. He noted that the heated debates reflect the importance of the reforms and the need for broader consensus.