As controversy continues to surround the proposed Tax Reform Bill in the National Assembly, the Coalition of Northern Groups (CNG) has voiced concerns that the bill may disproportionately benefit economically advanced states, leaving northern states like Gombe at a disadvantage.
The group’s Gombe State chapter, led by Coordinator Comrade Muhammad Usman Deba, raised alarms over the bill’s potential to widen economic disparities, particularly through its provisions on the Value Added Tax (VAT) reform.
The CNG opposes the bill’s proposed VAT sharing formula, which allocates VAT revenues based on the state where the revenue is generated.
They argue that this would primarily benefit states such as Lagos, which generate substantial VAT revenues, while northern states with lower economic activity would receive less.
According to Deba, the reform could deepen the economic divide between the North and South, leading to social unrest, increased migration, and further marginalization of the northern states.
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The group also criticized the lack of transparency in the decision-making process, pointing out that there has been no comprehensive data or analysis provided to justify the changes.
They stressed the importance of ensuring fairness and equity in any tax reform, emphasizing that policies should be implemented with a clear understanding of their implications.
The CNG has called on the Nigerian Senate to suspend further consideration of the Tax Reform Bill until the issues raised are addressed.
They also urged Nigerians to advocate for a tax system that promotes national unity and economic prosperity, warning that the current proposal could deepen regional disparities.
