THE Federal House of Representatives has adopted the controversial Tax Reform Bill as a working document.
The bill has faced significant challenges in gaining nationwide acceptance. Meanwhile, Northern governors previously made recommendations to the federal government as a precondition for supporting the bill.
Speaker Tajudeen Abbas, addressing the House during a committee session on Thursday, March 13, stated that after deliberations on the bill’s clauses, the House adopted it as a working document.
Abbas commended the finance committee for their efforts, describing the report as reflective of Nigeria’s collective interests.
“All the 36 states, including the Federal Capital Territory have their representatives in the sub-committee.
“This is the first time such a report is getting hundred per cent approval by almost all members,” he said.
Earlier, while presenting the report, the Chairman of the Finance Committee, Representative James Faleke, stated that contentious areas had been adequately addressed.
Faleke noted that the committee recommended that Value-Added Tax (VAT) be based on consumption, maintaining the rate at 7.5%.
He also disclosed that the committee recommended repealing the Federal Inland Revenue Service Act to establish the Nigeria Revenue Service, which would be responsible for collecting federal government revenues.
Faleke expressed optimism that the Nigeria Revenue Service would enhance seamless tax harmonisation and administration.
The ICIR reports that the committee modified several clauses, expunged some, retained many, and introduced new provisions in the bills.
The ICIR has also reported President Bola Tinubu’s stance on tax reforms, describing them as “non-negotiable for the Nigerian economy.”
The Tinubu administration emphasized that most of its pro-poor policies would be realized if the tax reform bills secured legislative approval.
“Tax reform is here to stay. We cannot continue to do what we were doing yesterday in today’s economy. The essence of the tax reform bills is to eliminate the influence of colonial rule on Nigeria’s economy,” Tinubu said in a recent presidential broadcast monitored by The ICIR.
Notably, President Tinubu had in October 2024 transmitted the four tax reform bills to the National Assembly for consideration and passage.
A Bill for an Act to Provide for the Assessment, Collection of, and Accounting for Revenue Accruing to the Federation, Federal, State, and Local Governments; Prescribe the Powers and Functions of Tax Authorities, and for Related Matters (HB.1756). (Referred: 12/2/2025)
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A Bill for an Act to Repeal the Federal Inland Revenue Service (Establishment) Act, No.13, 2007, and Enact the Nigeria Revenue Service (Establishment) Bill to Establish the Nigeria Revenue Service, Charged with the Powers of Assessment, Collection of, and Accounting for Revenue Accruing to the Government of the Federation, and for Related Matters (HB.1757). (Referred: 12/2/2025)
A Bill for an Act to Establish the Joint Revenue Board, the Tax Appeal Tribunal, and the Office of the Tax Ombud for the Harmonization, Coordination, and Settlement of Disputes Arising from Revenue Administration in Nigeria, and for Related Matters (HB.1758).
A Bill for an Act to Repeal Certain Acts on Taxation, Consolidate the Legal Frameworks Relating to Taxation, and Enact the Nigeria Tax Act to Provide for the Taxation of Income, Transactions, and Instruments, and for Related Matters (HB.1759).
Harrison Edeh is a journalist with the International Centre for Investigative Reporting, always determined to drive advocacy for good governance through holding public officials and businesses accountable.