House of Representatives has reassured Nigerians that any section of the tax reform bills that contravene the Constitution will not be accepted and will be rejected.
An opposition member representing the Katagum Federal Constituency of Bauchi State, Hon. Auwalu Adamu Gwalabe, gave this assurance while commenting on the ongoing public hearing on the tax reform bills.
Gwalabe stated that, as far as he is concerned, some sections of the bills contravene the Constitution. Unless they are amended, even if the bills are passed into law, they will create constitutional issues in the future.
He also argued, “Why are we in such a haste? Why should we abandon the former tax laws we have been using and suddenly introduce new ideas in the name of reform? How can we ignore the existing law completely?” He emphasized that these are some of the critical questions Nigerians should be asking.
Gwalabe therefore assured Nigerians that after all the public hearings, the final passage of the bills must be done clause by clause; otherwise, the opposition will take legal action.
He further explained, “Yes, I am from the opposition. They may have the majority to pass the bill, but we will not accept anything that goes against the country’s supreme law, the Constitution. If necessary, we will challenge it in court.”
Gwalabe said that while he agrees with many sections of the bills, there are certain provisions that contradict the Constitution.
Hon Gwalabe gave an example of a section that discusses inheritance tax, stating that this goes against the constitutional guarantee of religious freedom.
He explained that, in Islam, inherited property is not subject to taxation, and such contradictions must be addressed.
Similarly, Professor Auwal Hamisu Yadudu from Bayero University, who represented the people of Kano State, supported this argument in his submission.
He stated that many sections of the bills contravene existing laws, and if passed into law, they could trigger a flood of litigation challenging their constitutionality.
Professor Auwal also explained that section 1 of 140 of the tax administration bill have given it the powers which only the constitution has such powers, we think this is wrong and must be properly addressed, hoping that the advices given will be utilize for the good of our country.
In a related development, the representative of the Kano State Government, Dr. Muhammad Sagagi, stated during the hearing that Kano State fully supports the tax reform, as the existing tax laws have become obsolete and outdated, necessitating a comprehensive review.
However, Dr. Sagagi emphasized that Kano State strongly opposes the initial VAT sharing formula, arguing that states should have the opportunity to benefit fully from their generated revenue for development.
He also rejected the proposal to dissolve key institutions that contribute to educational development, such as TETFUND, NASENI, and NITDA.
In his argument, Dr. Sagagi emphasized that state governments need funds to execute development projects based on the principles of justice, fairness, and equity.
According to him, the country currently lacks a reliable and comprehensive data system for VAT revenue sharing.
He urged lawmakers to ensure that no state is unfairly favored over others in the distribution process.
Similarly, Professor Ahmad Bello Dogarawa from Ahmadu Bello University, Zaria, who represented the Supreme Council for Sharia in Nigeria, supported the reforms but expressed concerns about the proposed increase in Value Added Tax (VAT).
He argued that, given the economic hardship most Nigerians are facing such as high prices, inflation, and rising costs of living, VAT should not be increased, while instead, he suggested reducing it to provide relief to Nigerians.
In their submission, the Supreme Council for Sharia in Nigeria opposed the introduction of inheritance tax, stating that it is completely against Islamic teachings.
They argued that such a tax contradicts the fundamental rights of citizens to practice their religion, as guaranteed by the Constitution.
He further explained that they drew attention to the derivation formula, emphasizing that it should align with the proposal made by the Governors’ Forum.
He also supported the existence of NASENI, TETFUND, and NITDA, arguing that these institutions play a crucial role in helping young students whose parents cannot afford to sponsor their university education.
The Council also opposed the use of modern technology for tax collection in Nigeria, stating that it would disadvantage many Nigerians, especially if private companies are allowed to handle the process.
According to the Supreme Council for Sharia, this could become a means for a few individuals to enrich themselves through these companies at the expense of the majority, and therefore insisted that such a system should not be allowed.
Meanwhile, the member representing Batagarawa/Charanci and Rimi in Katsina State, Hon. Murtala Usman Banye, said that the way the hearing is being conducted clearly demonstrates fairness and equality.
He appealed to Nigerians to remain patient, assuring them that the House of Representatives, under the leadership of Speaker Abbas Tajjuddeen, would not allow any form of injustice.
He emphasized that each clause of the bill must be read, reviewed, and accepted before its final passage during legislative scrutiny.
Banye, urged all to support their efforts with prayers and endurance, assuring good legislations on these tax laws for sustainable development in Nigeria.
Cov/Bashir M
