Senate Leader clarifies issues on Tax Reform Bills, urges support for nation’s leadership in Christmas message
NASS
Claims on derivation model in tax reform bills are false – Senate Leader
Abdullateef Fowewe
Senate Leader Opeyemi Bamidele has assured Nigerians that the Senate is attentive to the concerns raised regarding the Tax Reform Bills.
Bamidele in a Christmas message on Wednesday, congratulated Nigerians on the festive season and called for their unwavering support for the nation’s leadership, urging Nigerians to remain steadfast, drawing strength from their faith, as they work together to rebuild and rebrand the country for greater socio-economic prosperity.
Bamidele’s message underscored the importance of collective effort in driving national growth while celebrating the spirit of Christmas, stating, “Christmas, again, presents humanity with the opportunity to appreciate God Almighty for His redemption plan and the birth of Jesus Christ, whom we are all celebrating today.
“Christ is indeed the real reason for this season and nothing more. It is not just a season for wining and dining, but also one of deep reflection about Christ’s birth and mission, His care and love, and His sacrifice and travail for us all, even for the unborn generations.
“The reason for the season is, no doubt, a huge lesson for all humanity, far and near. As we celebrate His faithfulness and goodness in our homes, we must also remember the needy in our neighbourhoods and consciously minister to them as Christ would have done.
“We need to reflect on the plight of the vulnerable nationwide and rekindle enduring hope in their hearts. We must reach out to those in troubled areas and show them the care of Christ our Lord.
“In this season and beyond, we must likewise remember Nigeria, our Fatherland, and the only country of our common heritage.
“With the zeal of our Lord, we must offer our timeless prayers for the renaissance of our Fatherland, for the restoration of her economy, for the stability of her polity, for the cohesion of her people across the Niger, and the manifestation of her glory in the league of Nations.
“This is the season never to shy away from the eternal responsibilities God Almighty has committed to our hands. This is the season to renew our resolve to faithfully stand with the political leadership for the renewal of hope.
“This is the season to halt the search for pastures that are never green, but the time to join hands to build our Nation with conviction and rebrand it for the ceaseless inflow of global capital and the endless troupe of global tourists.
“This is the spirit behind key legislations and reforms we have promoted in the 10th National Assembly. From the Tax Reform Bills of 2024 to the National Minimum Wage Act of 2024, the Investment and Securities Act of 2024, and the National Ranches Commission Establishment Bill of 2024, among others, we are simply committed to building an environment where businesses can operate seamlessly; where investors will never think twice before they bring in their capital; where our compatriots can freely breathe without undue burden and where the next generations will be proud at all times.
“We are pursuing each of these reforms purely in love for our countrymen, as Christ our Lord has commanded.”
On the tax reform bills, he clarified that, “This intention is more than evident in the case of the Tax Reform Bills 2024, a set of four initiatives consciously designed to reverse the country’s disturbing economic indicators.
“We have taken due note of public concerns about these initiatives. We are, as well, looking deeply into the areas of public concern.
“Our duty, as democrats, is not just to listen to our constituents, but also to give effect to policy initiatives that will positively impact their lives.
“For the record, the Tax Reform Bills, when finally enacted, utterly exempt all employees earning N1,000,000 annually or N83,000 monthly; exempt start-ups, shared services, and technologically driven services from taxation; and recommend zero VAT on essential services and consumption.
“Even though it reviews the derivation formula to 60%, this proposal is guided purely by the principles of equity, fairness, and justice. The new model will eventually guarantee a significant increase in VAT distributable to every state of the federation.
“As credible data have shown, for instance, the new model recommends 6.17% to Kano compared to 0.89% currently due to it.
“It recommends 1.21% for Zamfara compared to 0.05%. Currently, Lagos receives 80.26%, but the new model only recommends 15.28%, representing an 81% decrease.
“Under the new model, also, Rivers’ share will decline from 7.74% to 4.6%, accounting for 41%. With these figures, the narrative around the new derivation model is utterly incorrect and unfounded.
“Amid the debates about the Tax Reform Bills, as Christ, our Lord has taught us and as the Parliament of the people, we shall never pursue any agenda outside our oath of allegiance or undertake policy initiatives that are adversarial to or conflict with the interests and welfare of all our constituents and indeed our Fatherland.
“With all my heart, I wish you all happy celebrations in this season of deep reflection. Merry Christmas and a Happy New Year in advance.
