THE Northern Governors Forum (NGF) has voiced its opposition to the proposed Tax Reform Bill that has been submitted to the National Assembly.
They stated that the tax bill goes against the interests of the North and other sub-national entities.
In a statement delivered by the forum’s chairman and Governor of Gombe State, Mohammed Yahaya, the governors expressed their discontent with the suggested amendment to the distribution of Value Added Tax (VAT) to a Derivation-based Model.
The statement reads, “The Forum notes with dismay the content of the recent Tax Reform Bill forwarded to the National Assembly. The provisions within the bill are detrimental to the interests of the North and other sub-national entities, particularly the proposed amendment to distribute Value Added Tax (VAT) based on a Derivation Model.”
Consequently, the forum urged National Assembly members to reject any bill that threatens the welfare of their constituents.
“It is important to note that companies pay VAT based on the location of their headquarters and tax offices, rather than where the goods and services are actually consumed. In light of this, the Forum unanimously opposes the proposed Tax Amendments and urges National Assembly members to reject any legislation that could endanger the well-being of our people,” the governors stated.
Additionally, they called for equity and fairness in the execution of all Federal Government programs and policies.
The governors emphasized the need for “equity and fairness in the implementation of all national policies and programs to ensure that no geopolitical zone is overlooked or marginalized.”
