President Bola Ahmed Tinubu has expressed the readiness of his administration to make concessions on the tax reform bills currently before the National Assembly.
President Tinubu said this Monday while fielding questions on his maiden presidential media chat in Lagos and monitored in Abuja.
The bills have become a subject of controversy among all segments of Nigerians, with some in support and others in opposition.
The Bills are Nigeria Tax Bill 2024, Nigeria Tax Administration Bill 2024, Joint Revenue Board of Nigeria (Establishment) Bill 2024, and Nigeria Revenue Service (Establishment) Bill 2024.
Speaking during the media parley, President Tinubu admitted the fact that the reform might not be embraced by everybody, but insisted it has come to stay because of its significance to the poor and indeed the nation’s economy.
He said tax amendments required negotiations and concessions which he was open to, stressing that the reforms were aimed at modernising the tax system, broadening revenue base and supporting the nation’s development goals.
“Tax reforms are here to stay. We cannot just continue to do what we were doing yesterday,” he said, adding that “we cannot retool this economy with the old broken pot.”
Tinubu further said: “The tax reform is here to stay. The reform is pro-poor and it is to widen the tax net, so we can have more people paying.”
The president said his administration was focused on making tough but necessary decisions to stabilise the economy.
“The hallmark of a good leader is the ability to do what you have to do at the time it ought to be done. I believe I have the capacity. Tax matters are subjects of debates and negotiations. I don’t mind cutting edges. I will,” describing the reforms as a “new dawn” for Nigeria.
While acknowledging that the transition would not be easy for everyone, the president stressed the importance of staying the course.
“It will not be El Dorado for everyone, but I am laser-focused on what Nigeria needs and what I must do for Nigerians,” he said.
He emphasised that the tax reforms were designed to be pro-poor and inclusive, targeting the expansion of the tax net rather than burdening low-income earners.
“All we ask for is to widen the net, make the cake larger so we can share a larger meal,” he said.
While stressing the need to do away with taxes dated back to the colonial era, he said they were obsolete for the current economic realities of today.
Tinubu also stressed the need to address tax evasion, saying “you cannot satisfy a larger community of tax invaders.”
..Fuel subsidy
The president also defended his administration’s removal of the fuel subsidy, saying it was a vital reform needed for Nigeria’s economic future.
“I have no regrets whatever removing subsidies. It was necessary. We were not investing; we were just deceiving ourselves. The reform was necessary. We cannot have expenditures we don’t have revenue for,” he said.
The president called for fiscal discipline among Nigerians and acknowledged challenges such as smuggling that arose from the policy change.
“Cut your coat according to your size,” the president advised, insisting “we had no choice but to pull the handbrake—not just for us, but for our children and grandchildren.”
President Tinubu also acknowledged the challenges arising from the subsidy removal, including smuggling.
“I can see smugglers fighting back,” he said, adding that there was the need for strict enforcement and structural reforms.
Tinubu reiterated his administration’s commitment to making tough but necessary decisions to stabilise the economy.
“No matter how you phase it, you still have to meet the bill,” he said.
..On recent stampedes, cabinet size
The president also expressed condolences to families of the victims of a recent charity event tragedy, emphasising the need for improved crowd management at public gatherings.
He also defended his cabinet’s performance amid call for reshuffling, stressing that his ministers were adding value and effectively managing their assignments.
“Nigeria is a large country. I need my cabinet; they are adding value effectively,” he said, dismissing criticism of their efficiency.
He reiterated that job assignments in his administration were carefully structured to ensure efficiency and impact.
“You don’t give someone an assignment they cannot fulfil. Job descriptions must be efficient and effective,” he said.
The president expressed confidence in the direction of his administration, urging Nigerians to embrace the changes necessary for long-term prosperity.
“The essence of tax reform is to create a system that supports growth and development. The new dawn is here, and I am convinced,” he said.
The president also expressed confidence in Nigeria’s progress despite ongoing criticisms of his administration’s economic reforms.
“Nigeria is moving forward, regardless of critics,” he said, emphasising government’s commitment to stabilising the economy and enhancing local government autonomy.
..Achievements
The president highlighted significant achievements of his administration, which he said, include reduced debt servicing and improved fiscal discipline.
“I brought debt service down. Give credit, please. We are managing it,” he said.
On security challenges, the president praised the armed forces and other security agencies for their efforts at addressing terrorism and banditry in the country.
“I am proud of what they are doing. There’s no need to probe,” he said.
Tinubu assured citizens that mechanisms were in place to prevent budget leakages and ensure funds were utilised effectively.
He urged Nigerians to focus on local solutions for economic growth, advocating increased agricultural production and reduced imports.
“Produce more for consumption locally. Stop imports,” he said.
The president identified agriculture, marine ecosystems, and transportation as key sectors for job creation.
He reiterated his vision for a prosperous Nigeria, stressing that the 2025 budget is “a budget of hope.”
Tinubu called for public support in realising these goals.
“We are moving forward,” he said, stressing that the future is bright for Nigeria and Nigerians.
