The Presidency has clarified that the proposed tax reforms, including changes to Nigeria’s Value-Added Tax (VAT) distribution model, are intended to benefit all regions equally.

This response follows opposition from the Northern Governors’ Forum, a coalition of governors from Nigeria’s 19 northern states, who expressed concern over aspects of the reform at a meeting held on October 28.

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Bayo Onanuga, Special Adviser to the President on Information and Strategy, disclosed this in a statement released on Thursday.

Led by Governor Muhammed Inuwa Yahaya of Gombe State, the governors, supported by traditional rulers like the Sultan of Sokoto, His Eminence Muhammadu Sa’ad Abubakar III, cautioned that the proposed VAT model might disadvantage their states.

The statement reads, “While we commend the Governors and traditional rulers for supporting President Bola Tinubu over the success recorded in addressing the country’s security challenges, we consider it necessary to address the misunderstandings and misgivings around the tax reform already embarked upon by the administration.

“President Tinubu and the Federal Executive Council recently endorsed new policy initiatives aimed at streamlining Nigeria’s tax administration processes, enhancing efficiency and eliminating redundancies across the nation’s tax operations.

“These reforms emerged after an extensive review of existing tax laws. The National Assembly is considering four executive bills designed to transform and modernise Nigeria’s tax landscape.

“First is the Nigeria Tax Bill, which aims to eliminate unintended multiple taxation and make Nigeria’s economy more competitive by simplifying tax obligations for businesses and individuals nationwide.

“Second, the Nigeria Tax Administration Bill (NTAB) proposes new rules governing the administration of all taxes in the country. Its objective is to harmonise tax administrative processes across federal, state and local jurisdictions for ease of compliance for taxpayers in all parts of the country.

“Third, the Nigeria Revenue Service (Establishment) Bill seeks to rename the Federal Inland Revenue Service (FIRS) as the Nigeria Revenue Service (NRS) to better reflect the mandate of the Service as the revenue agency for the entire federation, not just the Federal Government.

“Fourth, the Joint Revenue Board Establishment Bill proposes the creation of a Joint Revenue Board to replace the Joint Tax Board, covering federal and all states’ tax authorities.

“The fourth bill also suggests establishing the Office of Tax Ombudsman under the Joint Revenue Board, which would serve as a complaint resolution body for taxpayers.

“It is instructive to note that these proposed laws will not increase the number of taxes currently in operation. Instead, they are designed to optimise and simplify existing tax frameworks.

“The tax rates or percentages will remain the same under these reforms, as they focus on ensuring a more equitable distribution of tax obligations without adding to the burden on Nigerians.

“The reforms will not lead to job losses. On the contrary, they are structured to stimulate new avenues for job creation by supporting a dynamic, growth-oriented economy.

“Importantly, these laws will not absorb or eliminate the duties of any existing department, agency, or ministry. Instead, they aim to harmonise revenue collection and administration across the federation to ensure efficiency and cooperation.

“At the moment, tax administration lacks coordination among federal, state, and local tax authorities, often resulting in overlapping responsibilities, confusion, and inefficiency. Without reform, this inefficiency will persist.

“The proposed laws aim to coordinate efforts between different tiers of government, resulting in better tax resource management and greater clarity for taxpayers.

“Under existing laws, taxes like Company Income Tax (CIT), Personal Income Tax (PIT), Capital Gains Tax (CGT), Petroleum Profits Tax (PPT), Tertiary Education Tax (TET), Value-Added Tax (VAT), and other taxing provisions in numerous laws are administered separately, with individual legislative frameworks.

“The proposed reforms seek to consolidate these multiple taxes, integrating CIT, PIT, CGT, VAT, PPT, and excise duties into a unified structure to reduce administrative fragmentation.

“On the proposed derivation-based VAT distribution model, which the Northern Governors oppose, it must be stressed that the new proposal, as enunciated in the Bill, is designed to create a fairer system.

“The current model for distributing VAT is based on where the tax is remitted rather than where goods and services are supplied or consumed.

“The ongoing tax reform seeks to correct the inherent inequity in the current derivation model as a basis for distributing VAT revenue.

“The new proposal before the National Assembly outlines a different form of derivation which considers the place of supply or consumption for relevant goods and services.

“This means that states in the Northern region that produce the food we eat should not lose out just because their products are VAT-exempt or consumed in other states.

“These reforms are critical to improving the lives of Nigerians and were not put forward by President Tinubu to undermine any part of the country.

“There is no better time than now for the National Assembly to give due consideration to these bills that will overhaul our tax systems and create the revenue all the tiers of government require to fund the development our country and people urgently need.” It added

The Osun State Government has assured the people of Osogbo land that the dispute over the land belonging to Osogbo Technical College will be resolved in favour of the capital city.

This was contained in a statement on Wednesday issued by the Commissioner for Information and Public Enlightenment, Kolapo Alimi.

Alimi also clarified that the dispute was inherited from the previous administration.

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The commissioner explained that Governor Ademola Adeleke met a legal dispute over the land when he assumed office in 2022, informing the public that a consent Judgment ceding the land to land owners was on ground as at 2022.

He narrated that the government was surprised that a school land could be returned to land owners when the school is still in existence and in need of such landed properties.

Alimi added that the government in its push to reclaim public land re-acquired the land, noting however that the subject is still in court which even sat on the matter yesterday.

In his words, “The government however wishes to state that only the best interest of Osogbo people must prevail in this matter. The government reassures Osogbo people that only their wishes will be supported and nothing will be done to negatively affect the communal interest of the state capital.”

According to Alimi, the government of Gov Adeleke is always for the interest of Osogbo in particular and Osun people in general, assuring that securing the disputed land for public good is paramount to the state leadership.

Hon. Sulaiman Abubakar Gummi, the representative for Gummi/Bukkuyum Federal Constituency in Zamfara State, has officially defected from the People’s Democratic Party (PDP) to the All Progressives Congress (APC).

His defection has fueled debate in the House of Representatives, with Minority Leader pressing for Gummi’s seat to be declared vacant.

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The minority leader argued that the Constitution mandates a lawmaker’s seat be declared vacant in cases of defection, except where there is a crisis within the party.

With no recognized division within the PDP, he contended that Gummi’s defection should render his seat open.

The Speaker, however, dismissed the Minority Leader’s call, ruling him out of order.

More to follow………