The four tax reform bills have been transmitted to President Bola Tinubu by the National Assembly for assent after harmonisation by the Senate and the House of Representatives.
Chairman of the Senate Committee on Media and Public Affairs, Mr YemiAdaramodu, confirmed this development to newsmen in Abuja on Tuesday.
“Yes, the bills have now been transmitted. They are out of our hands and on their way to the executive [for asset],” Mr Adaramodu declared.
Recall that the tax reform bills almost divided the parliament after some lawmakers from the north kicked against them, arguing that the bills do not favour the region.
One of the most controversial parts of the bills was an initial proposal allowing tax-generating states to retain 60 per cent of Value Added Tax (VAT) revenue.
The clause triggered fierce opposition, especially from lawmakers representing Northern states who raised concerns over regional economic disparities.
However, a compromise was later reached, reducing the retention rate to 30 per cent and replacing the term “derivation” with the more neutral “place of consumption.”
The bills, comprising the Joint Revenue Board (Establishment) Bill, the Nigeria Revenue Service (Establishment) Bill, the Nigeria Tax Administration Bill, and the Nigeria Tax Bill, were submitted to the legislative arm of government by the executive in November 2024.
They were designed to modernise tax collection processes, broaden the tax base, and enhance coordination across all levels of government.