The four tax reform bills transmitted to the National Assembly by President Bola Tinubu in 2024 have successfully scaled their second reading at the House of Representatives.
On Wednesday, February 12, 2025, six months after the President forwarded the bills for legislative review, lawmakers in the Green Chamber debated the proposals. The bills were formulated based on the recommendations of the Taiwo Oyedele-led Committee on Fiscal Policy and Tax Reforms.
The proposed legislation includes:
- Nigeria Tax Bill 2024
- Tax Administration Bill
- Nigeria Revenue Service Establishment Bill
- Joint Revenue Board Establishment Bill
Having passed the second reading, the bills will now proceed to a public hearing for further scrutiny.
However, the tax reforms have faced strong opposition from various quarters, including northern governors and opposition politicians, who have demanded their withdrawal. Critics argue that the bills could impose excessive tax burdens and contradict constitutional provisions.
During the plenary session, lawmaker Sada Soli raised concerns that certain sections of the proposed reforms might conflict with the 1999 Constitution, particularly regarding derivation principles. He emphasized the need for clear definitions to prevent legal ambiguities.
Other lawmakers pointed out that the bills seek to amend 40 existing laws, urging that these amendments be thoroughly reviewed before passage. A key issue raised was multiple taxation on property transactions, as the proposed law mandates both buyers and sellers to pay taxes.
The bills now move to the next stage, where stakeholders will have the opportunity to present their views before further legislative action is taken.
