Tinubu commends governors for backing tax reform bills, asks n’assembly to fast-track passage

President Bola Tinubu has commended the Nigerian Governors’ Forum (NGF) for throwing its weight behind the proposed tax reform bills currently at the national assembly.

After the NGF met with the presidential tax reform committee on January 16, the governors announced their support for the bills and called for an “equitable” sharing formula for value-added tax (VAT).

The forum endorsed a VAT sharing formula of 50 percent based on equality, 30 percent on derivation, and 20 percent on population as opposed to the one proposed by the federal government.

The federal government had proposed that derivation should be 60 percent, equality 20 percent and population 20 percent.

In a statement on Friday by Bayo Onanuga, special adviser to the president on information and strategy, Tinubu said the governors are vital contributors to the building of the country.

“President Bola Tinubu expresses his appreciation for the Nigeria Governors’ Forum following their unanimous endorsement of the four Tax Reform Bills currently under consideration by the National Assembly,” the statement reads.

“Thursday’s productive consultation between the Nigeria Governors’ Forum and the Presidential Committee on Tax and Fiscal Policy is a commendable example of cooperation between the Federal and State governments.

“He extends special commendations to the Chairman of the Governors’ Forum, Kwara State Governor Abdulrahman AbdulRazaq, for successfully galvanising support among his peers for these transformative tax bills to rejuvenate the national economy and enhance Nigeria’s investment climate.

“He also commends the Progressive Governors Forum, the Northern Governors Forum, and all other groups that made the bipartisan resolution of the controversy stirred by the tax bills possible.”

Tinubu said the primary aim of the bills is to promote national interests, improve the competitiveness of Nigeria’s economy, and attract both local and foreign investments.

He encouraged other stakeholders with ideas and suggestions for refining the tax bills to engage with the ongoing legislative process at the national assembly.

Tinubu urged the national assembly to expedite the legislative process for the passage of the tax reform bills.