Senate Debates Tax Reform Bills Amid Mixed Signals from Leadership

The Senate is embroiled in controversy over the progress of four contentious tax reform bills. Senate President Godswill Akpabio clarified on Thursday that legislative actions on the bills have not been suspended, contrary to an announcement made earlier in the week by Deputy Senate President Jibrin Barau.

On Wednesday, Barau, who presided over the plenary, had announced that public hearings and legislative work on the bills would be paused to allow for broader consultations. He formed a 10-member committee led by Senator Abba Moro to liaise with Attorney General of the Federation (AGF) and Justice Minister Lateef Fagbemi to address concerns.

However, Akpabio refuted claims of a suspension, asserting during Thursday’s plenary that the Senate remains committed to advancing the bills. “The Senate cannot be bullied. Any reform we are convinced serves the interest of Nigerians will proceed. These bills contain provisions that are in the best interest of the public,” he said.

Senate Leader Opeyemi Bamidele supported Akpabio’s position, warning against misinformation. “We have not suspended or withdrawn deliberations on the tax reform bills. Any attempt to intimidate the Senate is undemocratic,” Bamidele stated.

Regional and Political Alignments
The debate on the bills has exposed regional and political fault lines. The South-South Senators’ Forum threw its weight behind the reforms, citing their potential to enhance revenue and stabilize the economy. In a statement, the forum’s chairman, Senator Seriake Dickson, emphasized the need for comprehensive evaluations to ensure the bills align with national and regional interests.

“We pledge our full support to the Senate president and the leadership of the National Assembly in their efforts to ensure the effective and timely passage of legislation aimed at promoting good governance, national unity, and economic development,” the statement read.

Fifteen other South-South senators, including Senator Jarigbe A. Jarigbe and Senator Adams Oshiomhole, signed the communique, reaffirming their confidence in Akpabio’s leadership and urging state governors to collaborate on fine-tuning the bills.

Meanwhile, the Senate adjusted the membership of the consultation committee, replacing Chief Whip Senator Mohammed Monguno with Senator Shehu Kaka. The move followed opposition to the bills from key figures in Borno State, including Governor Babagana Zulum and Vice President Kashim Shettima.

Calls for Broader Engagement
Former Ekiti State Governor Kayode Fayemi underscored the importance of political acceptance for the bills during a lecture in Ibadan. “The government means well by initiating the tax reform bill, but good intentions are not enough. Proper consultation with critical stakeholders is essential,” he said. Fayemi also called for a revenue-sharing formula favoring states, reflecting devolved responsibilities.

Similarly, the Arewa Youth Movement backed the reforms, highlighting their potential to enhance infrastructure development and reduce poverty in the North. “The bill has the potential to significantly improve Nigeria’s fiscal landscape,” said the group’s president, Sa’ad Muhammad.

The Nigerian Southern Senators Forum (NSSF) also expressed support for the reforms, describing them as steps toward a fairer and more inclusive tax system. The NSSF urged the Federal Government to provide data reassuring states that the reforms would not result in revenue losses.

Legislative Next Steps
Despite the controversy, Akpabio stressed the Senate’s independence and commitment to due process. “We don’t take orders from anyone, no matter how highly placed,” he asserted.

The Senate has planned public hearings and stakeholder consultations to address lingering concerns. Akpabio commended Senator Abba Moro for initiating consultations promptly after the committee’s formation, ensuring progress on the bills.

“If six weeks are insufficient, we will extend the time. We are committed to transparency and addressing all concerns,” Akpabio added.

As deliberations continue, the Senate faces mounting pressure to balance the interests of various stakeholders while ensuring the reforms serve the nation’s broader economic goals.