The Bola Ahmed Tinubu administration is set to implement a new tax plan that will affect more citizens and businesses.
This decision comes despite the ongoing economic hardships faced by many Nigerians.
The plan is part of the recently approved Economic Stabilisation Bills by the Federal Executive Council.
Taiwo Oyedele, the Chairman of the Presidential Committee on Fiscal Policy Tax Reforms, announced the initiative on his official X account.
He explained that the initiative is called “Tax Identification Consolidation and Collaboration” or TICC.
Oyedele believes that this initiative will help expand Nigeria’s tax base and increase government revenue.
“This will help us create a level playing field for businesses,” he stated.
The initiative aims to include more individuals and companies in the tax system.
The government is hoping that by widening the tax net, it can improve economic stability.
This announcement comes at a time when many Nigerians are struggling with the rising cost of living.
Inflation in Nigeria was reported at 32.15 percent in August 2024.
The high inflation rate has put immense pressure on families and businesses alike.
In recent weeks, there has been widespread public outcry over the government’s plans to increase the Value-Added Tax (VAT) from 7.5 percent to 10 percent.
Although the government recently denied any immediate plans to increase VAT, many citizens are still concerned.
The opposition party, the Peoples Democratic Party (PDP), has strongly criticized the government’s tax plans.
Atiku Abubakar, the presidential candidate of the PDP, condemned the tax increases, stating that it would “consume the very essence of Nigerian people.”
His statement reflects the frustration many Nigerians feel regarding the burden of taxes in difficult economic times.
Abubakar’s comments emphasize the fears that increased taxes will lead to further hardship for ordinary citizens.
Despite the criticism, the government argues that these measures are necessary for economic stability.
The Economic Stabilisation Bills include a total of 15 different tax, fiscal, and establishment laws.
These laws aim to support the country’s economic recovery and growth.
Oyedele believes that the new tax measures will lead to a more sustainable economic environment.
“The introduction of TICC is essential to expand the tax base and generate more revenue,” he noted.
The announcement has led to mixed reactions among the Nigerian public.
Many citizens are worried about how these new taxes will affect their daily lives.
The fear is that the new tax policies will further strain already tight budgets.
Taxation in Nigeria has been a contentious issue for many years.
Many citizens feel that the government has not been transparent in how tax revenues are used.
Previous administrations have struggled with tax collection, leading to low revenue despite a large population.
The current government has been criticized for its handling of economic policies and their impact on ordinary Nigerians.
The Economic Stabilisation Bills have now been sent to the National Assembly for approval.
