Senator Ali Ndume, a member of the Nigerian Senate, has voiced his discontent regarding President Tinubu’s tax reform initiatives. In an interview with Channels TV, Ndume, who represents Borno South, criticized the proposed tax reform bills.
In October 2024, President Tinubu submitted several bills to the National Assembly, including the Nigeria Tax Bill, the Nigeria Revenue Service Bill, the Nigeria Tax Administration Bill, and the Joint Revenue Board of Nigeria Bill. These proposals have encountered significant backlash from various lawmakers and numerous northern governors, who fear that the reforms may adversely affect the northern population. Notably, the four tax bills have already progressed to the second reading in the Senate.
During the interview, Senator Ndume hinted at the possibility of leaving the All-Progressives Congress (APC) over the tax reform debate. He expressed his close relationship with President Tinubu and his desire for the President to succeed, stating, “But if not, I can leave the party.” He questioned the effectiveness of the reforms, asking, “When you say those earning below ₦800,000 annually won’t pay VAT, how does that help them? Are they exempt from paying VAT on the goods they buy in the market? With the increase in corporate tax, businesses are likely to pass the additional costs onto consumers.”
He illustrated his point with examples, noting that the price of cement has already risen, leading to higher costs for consumers. He further stated, “If Dangote is taxed on refined products, that cost will also be reflected in the price per litre. So, are you truly helping those who earn below ₦800,000, or are you making their situation worse?”
In response to these concerns, the Nigerian Senate has announced plans to hold a public hearing on the bills to gather more input from stakeholders, which will inform their final decision on the proposed tax reforms.
