Senate Leader Opeyemi Bamidele has reiterated the critical role of tax reforms in advancing Nigeria’s economic recovery and development.
Speaking in his Christmas message on Wednesday, the senator highlighted the 10th National Assembly’s commitment to enacting legislation aimed at fostering business growth, attracting investment, and easing economic challenges faced by citizens.
Bamidele urged Nigerians to embrace hope and unity during the festive season, drawing inspiration from Christ’s teachings of compassion and reflection.
The Senate Leader defended the Tax Reform Bills, 2024, describing them as pivotal initiatives designed to reverse Nigeria’s economic challenges and promote equity in resource allocation.
“These reforms are not just about revenue generation,” Bamidele said. “They are rooted in the principles of equity, fairness, and justice, ensuring that no one is left behind in our economic restoration journey.”
He emphasized that the reforms would exempt employees earning less than ₦1,000,000 annually (₦83,000 monthly) from taxes, provide tax relief for start-ups and technologically driven businesses, and remove VAT on essential services and consumables.
Bamidele explained that the reforms would introduce a new derivation formula to increase VAT distribution to states with lower revenues while reducing shares for high-revenue states like Lagos and Rivers.
“For instance, Kano’s share is proposed to rise from 0.89% to 6.17%, while Zamfara’s share will increase from 0.05% to 1.21%,” he noted. “In contrast, Lagos’ allocation will decrease from 80.26% to 15.28%, and Rivers’ share will drop from 7.74% to 4.6%.”
The senator added, “This model ensures fairness and equity, addressing disparities in resource allocation to create a more balanced economic structure across the federation.”
Bamidele assured Nigerians that their concerns about the bills had been acknowledged and would be addressed.
“Our responsibility as lawmakers is to not only listen to the people but to enact policies that will have a positive impact on their lives,” he said. “The Tax Reform Bills reflect our dedication to creating a fair and inclusive economic environment for all.”
Concluding his message, Bamidele expressed his hopes for a reflective and joyous Christmas season.
“As Christ has taught us, we remain committed to the welfare of our constituents and the nation. May this season of reflection bring joy to all Nigerians. Merry Christmas and Happy New Year in advance,” he said.
