South-East Senate Caucus Joins Northern Senators in Rejecting Tinubu’s Tax Reform Bills

The South-East Caucus of the Nigerian Senate has withheld its endorsement of President Bola Tinubu’s proposed tax reform bills, calling for broader consultations before their passage.

This decision aligns the caucus with other critics, including Northern senators, who have expressed reservations about aspects of the legislation.

Following a closed-door meeting on Monday in the office of the South-East caucus leader, Senator Enyinnaya Abaribe (APGA, Abia South), the lawmakers emphasized the need for input from stakeholders across the region before taking a definitive stance.

Abaribe, speaking on behalf of the caucus, clarified that their opposition was not to the principle of tax reform itself but to the process, which they believe lacks adequate consultation.

“As senators from the South-East, we are not against the Tax Reform Bills,” Abaribe stated. “However, we insist on wider consultations with our constituents across the 15 senatorial districts, state governments, and other critical stakeholders in our zone.”

The senators highlighted concerns over inclusiveness and equity in the proposed framework, suggesting that the legislation should address the unique needs of the South-East. Abaribe reiterated the importance of gathering feedback to ensure the reforms serve the interests of all regions fairly.

“There are key issues we believe need further scrutiny and dialogue. Consultation is vital for inclusiveness and effective legislation,” he added.

The proposed tax bills have been a source of controversy nationwide. One contentious issue is the sharing formula for Value Added Tax (VAT), which Northern governors have criticized, arguing it disadvantages their region. This has fueled calls for a review to ensure fairness and balance in the allocation of resources.

The South-East caucus’s stance is expected to add momentum to demands for a more transparent and participatory legislative process. By joining other dissenting voices, the caucus has underscored the need for a national consensus on critical fiscal policies.

As deliberations continue in the National Assembly, the growing resistance to the tax reforms signals the importance of compromise and dialogue in addressing Nigeria’s fiscal challenges