South-East Senators Call for Stakeholder Engagement on Tax Reform Bills

The South-East Caucus in the Nigerian Senate has joined calls for broader consultations on the contentious tax reform bills currently before the National Assembly. After a closed-door meeting in Abuja, Senator Enyinnaya Abaribe (APGA, Abia South), leader of the caucus, expressed the region’s concerns, clarifying that they are not against the bills but seek more inclusive discussions before any decisions are made.

Abaribe emphasized the importance of involving their constituents, state governments, and other critical stakeholders in the process. He acknowledged that while the bills had been reviewed, they needed further input from the South-East to ensure they reflect an equitable framework that serves all Nigerians. He urged that the views of the region, spread across the 15 senatorial districts, be considered before moving forward with the reforms.

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Meanwhile, the debate over the bills continues to divide other regions. Senators from the South-South, led by Senator Seriake Dickson, have backed the reforms, citing their potential to boost national revenue. However, Northern senators have raised concerns about the bills’ adverse effects on their states, leading to calls for a suspension of legislative actions until more consensus can be reached.

The controversy over the tax reforms has also led to further legal and political implications. The Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) has challenged the proposed changes to the VAT distribution model, arguing that such shifts would undermine its constitutionally mandated role in revenue allocation. Critics argue that bypassing the RMAFC could be unconstitutional and could disrupt the fair distribution of resources across the country.

As the National Assembly continues deliberating on the reforms, tensions remain high, with various stakeholders, including governors, lawmakers, and civil society groups, voicing their concerns about the fairness and potential impact of the new tax policies