Tax bills will restore fiscal federalism, says Orji Kalu

Senator Orji Uzor Kalu has said that though the Federal Government erred in its approach to the tax bills currently before the National Assembly, the reforms will restore fiscal federalism.

According to the former governor now Senator for Abia North, the controversy generated by the bill is a consequence of the failure to adequately engage key stakeholders about the proposed tax reforms.

The four tax reform bills: the Nigeria Tax Bill, Nigeria Tax Administration Bill, Nigeria Revenue Service Establishment Bill and the Joint Revenue Board Establishment Bill, sent to the legislative arm by President Bola Tinubu have been met with stiff opposition from lawmakers and some governors.

The National Economic Council (NEC) had requested that the President withdraw the legislation to allow further deliberations, while the Northern States Governors Forum (NSGF) rejected them.

But speaking on the issue on a program on Arise Television, monitored by The Cable, Kalu contended that the federal government should have briefed the National Economic Council, Governors’ Forum, and Council of State before presenting the bills to the National Assembly for consideration.

Kalu emphasized that for Nigeria to advance, its tax laws which he noted are outdated must be updated, admitting that the proposed tax reforms are “very progressive” and would restore Nigeria’s “fiscal federalism.”

He dismissed insinuations that President Tinubu is planning to introduce a tax collection company like Alpha Beta across Nigeria.