The ongoing debate surrounding the controversial Tax Reform Bill has highlighted the Tinubu administration’s hasty approach to addressing a sensitive national issue with significant geopolitical implications, particularly concerning the distribution of Value Added Tax (VAT) among the 36 states of the federation.
The manner in which the bill was handled by the Deputy Senate President, Senator Barau Jibrin, on the Senate floor has added to its sensationalism. Senator Ali Ndume’s remarks brought attention to what appears to be an attempt by Senator Jibrin to fast-track the bill’s passage, bypassing established legislative procedures.
Some political observers believe that Senator Jibrin’s actions are motivated by a desire to curry favor with President Tinubu, with hopes of securing the All Progressives Congress (APC) ticket to contest for the Kano State governorship in the 2027 elections. However, this strategy may backfire. Rather than enhancing his chances, it could distance him from his ambition and undermine his political standing.
The position of the Northern Governors’ Forum, along with that of traditional rulers, diverges sharply from that of Senator Jibrin. They are deeply concerned about the potential negative consequences the bill may have on revenue allocation from the Federation Account, which affects all 36 states and the Federal Capital Territory (FCT).
Given the critical nature of this bill and its potential impact on state finances, a more thoughtful, inclusive, and transparent approach is required. The government should prioritize extensive public awareness and consultation before presenting such a bill to the National Assembly.
The National Economic Council (NEC), established by the 1999 Constitution and comprising state governors, should have been the appropriate platform for initial deliberations. Reaching a consensus among stakeholders before forwarding the bill to the legislature would have ensured broader support and minimized friction.
The administration’s reliance on officials perceived to be aligned with Lagos-centric interests risks ignoring the delicate balance of power and revenue-sharing arrangements enshrined in the constitution. Any attempt to alter this formula without due consideration of its implications could undermine President Tinubu’s broader political goals, including his potential bid for re-election in 2027.
A tactical retreat by the President is advisable. The bill should be revisited and deliberated within the NEC, allowing for input from state governors and addressing their concerns. Incorporating the views of influential figures such as Borno State Governor Babagana Zulum and his colleagues would foster a more inclusive and consensus-driven outcome.
In conclusion, a well-considered, consultative approach to the Tax Reform Bill will not only ensure its smooth passage but also strengthen national unity and foster equitable development across the country.
Mahmud Shuaibu Ringim
HALIM Consulting Ltd, Kano
mahmudshuaibu44@gmail.com
