THE 19 Northern Governors under the umbrella of the Northern Governors forum (AGF) met on 2nd November 2024,to oppose the derivation based value added tax (VAT) model in the new tax bill under consideration in the National Assembly, describing it as unfair to the Northern region..
The tax reform by definition consist in changing the structure of one or more taxes or the tax system, in order to improve their function for achieving their objective..
The purpose also,is to harmonise multiple taxes and levies at all levels of government (LG, State, Federal) and unification of revenue collection as well as modernization and simplification of the tax system.
The emphasis of this Tax reform is that states should actively contribute to national revenues ,ensuring a balanced financial relationship between regions..
It will address long standing tax distribution inequalities between Nigeria’s region. It will ensure fairness in national revenue sharing..it will change the sharing formula from Federal account to states and LG’s based on the internal generated revenue (IGR) by States and LG’s to same Federal account.. It will be “Take what you bring”..monkey no go dey work and baboon go dey chop..
The Northern Elites are fighting it because there will be no more extra cash to push their beliefs and actions, Believes and actions that has eventually plagued the once peaceful, Vibrant and potential northern region into gross backwardness and have impoverished her many easily Gullible citizens.
The argument Governor sule gave on behalf of his brothers is that,those states he felt will get more revenue like Lagos is because it has ” Ports and is a manufacturing hub”,and therefore they have the capacity to contribute higher and ultimately receive more from the federation account..
A brief look at the North shows it has the highest Land mass of 666,000km2 compared to the south region combined with a combined Land mass of 299,843km2..
The question is What has the northern region done all these while with these vast gift from nature?
The north has some vast dams like kainji, Shiroro, Kiri dam in Adamawa, Tee Manbila plateau, The dadin kowa dam and others Why haven’t they thought of the idea independent power generation for the states and the region to power small, medium and large scale business which are the bedrock for industrialization and ultimately,the economic strength and sustainability of the northern region?
What about the Kano dry port given to Kano state the commercial hub of the northern region?… with the idea that it will be storage area for containers that is north bound..why is it not alive and kicking in attracting investment around it and ultimately boasting revenue for the host state and the north at large?
What about the crude oil allegedly discovered at the kolmani river a border line between Bauchi and Gombe state?….why haven’t the host States and the northern elites put strength together to begin drilling and exploration and make the north producers of the “black gold”…
What about the Gold of kaura namoda how much is it contributing to the federal revenue growth… as people are there doing something and no one is saying anything…
What about the solid minerals of Kaduna, Adamawa, Jos,and other northern states..why is illegal mining striving in those areas and nothing goes into the federal account? Who are the benefactors?
There is ability in ” disability ” The north should wake up to the present realities. “no more food for Lazy man”
God bless Nigeria and it shall be great again and be pride for us and our neighbours..
