Zulum Calls for Caution on Tinubu’s Tax Reform Bill, Advocates for Wider Consultation
By Usman A. Harande
Borno State Governor, Professor Babagana Umara Zulum, has emphasized the need for broader consultation on the proposed tax reform bill currently before the National Assembly. Speaking on Channels Television’s Sunday Politics, Governor Zulum stressed that consultation is a fundamental principle in any democratic society.
The Governor expressed concerns over the provision that allocates 60% of Value Added Tax (VAT) revenue based on derivation, warning that this policy would disproportionately benefit states like Lagos and Rivers, potentially leaving other states at a disadvantage.
Governor Zulum’s Key Concerns:
✓VAT Revenue Allocation: The proposed allocation of 60% of VAT revenue based on derivation may favor only a few states, leaving others disadvantaged.
✓Lack of Consultation: Governor Zulum emphasized the need for wider consultation to address concerns and misconceptions surrounding the bill.
✓Potential Impact on National Growth: The Governor advised that contentious aspects of the bill that could hinder national growth and development should be amended.
Governor Zulum also clarified that his comments were not intended to oppose President Bola Ahmed Tinubu’s administration, but rather to advocate for a more inclusive approach to the proposed bill.
In a related development, former Vice President Atiku Abubakar has called for a fiscal system that promotes justice, fairness, and equity in the ongoing controversy over the tax reform bills.
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