Featured, Politics
By Anthony Isibor
THE Nigerian Governors Forum and the Presidential Tax reform Committee have recommended a revenue sharing formula based on 50% equality, 30% derivation, and 20% population.
The meeting also suggested that the VAT rate should not be increased and that the Corporate Income Tax, CIT, should not be tampered with at this time to maintain economic stability.
According to the communique issued at the end of the meeting held on Thursday to deliberate on the reform of the Nigerian fiscal policies and tax system, signed by Kwara State Governor, AbdulRahman AbdulRazaq, Chairman, Nigerian Governors’ Forum, the new revenue sharing formula and the revised Value Added Tax, VAT system will ensure equitable distribution of the nation’s resources.
The other resolutions of the meeting include a comprehensive reform of Nigeria’s archaic tax laws to enhance fiscal stability and align with global best practices as well as the continued exemption of essential goods and agricultural produce from VAT to safeguard the welfare of the citizens and promote agricultural productivity.
The meeting also recommended that there should be no terminal clause for TETFUND, NASENI and NITDA in the sharing of development levies in the bills and called for the continuation of legislative process at the National Assembly that will culminate in the eventual passage of the Tax Reform Bills.
A.I
Jan. 17, 2025
Tags: AbdulRahman AbdulRazaq
