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Tax Reform Bill Sparks Religious and Regional Divide in Nigeria

By Achadu Gabriel, Kaduna

The proposed Tax Reform Bill (TRB) by the Bola Tinubu administration has ignited widespread debate, with supporters and opponents becoming increasingly polarized along regional and religious lines.

The Northern States Governors Forum (NSGF), predominantly led by core northern governors and emirs, publicly rejected the bill in a communiqué issued after a meeting at the Sir Kashim Ibrahim House, Kaduna. Though some Christian northern governors were represented at the meeting by deputies or secretaries, the forum largely criticized the bill, citing fears that it could harm the region’s economy.

In contrast, Christian leaders in northern Nigeria have expressed strong support for the TRB, urging their followers to understand its benefits. Last week, during a town hall meeting organized by the Christian Awareness Initiative of Nigeria (CHAIN) in Kaduna, the leaders endorsed the bill, emphasizing its potential to foster economic growth.

Speaking at the event, former Speaker of the House of Representatives, Rt. Hon. Yakubu Dogara, criticized northern leadership for neglecting development despite decades of political dominance.

“Our problem in the North is not about VAT allocations or political appointments,” Dogara said. “The North has controlled the presidency for over 40 years, with key positions in the Senate, House of Representatives, and NNPC, yet the region remains underdeveloped.”

Dogara argued that the TRB, which seeks to simplify Nigeria’s 11 existing tax laws into two, is a necessary step for economic growth, attracting investment, and streamlining revenue collection.

Rev. Joseph John Hayab, CHAIN’s Executive Director, echoed this sentiment, urging leaders to avoid religious or ethnic biases in assessing the reform. “The tax reform bill holds many prospects for Nigeria. While some areas require adjustments, it is critical to support reforms that can move our nation forward,” Hayab said.

Key Christian figures, including Archbishop Praise, Archbishop Matthew Ndagoso, and Elder Sunday Oibe of Northern CAN, attended the event, advocating unity and accountability in addressing the North’s challenges.

Meanwhile, opposition to the bill remains strong among Muslim groups in the North. The Northern Star Youth Empowerment Initiative, led by Dr. Abdullahi Idris, labeled the TRB as potentially harmful to the region’s economic interests.

In a statement, Dr. Idris argued that the bill’s provisions on VAT revenue distribution are unfair and could exacerbate economic hardship in the North. He called for its immediate withdrawal and urged northern lawmakers to reject it, warning of potential backlash from their constituents.

“While certain aspects of the bill may be beneficial, the lack of sufficient consultation before its presentation to the National Assembly is troubling,” Dr. Idris stated. “We advise the Federal Government to allow for thorough scrutiny and wider consultations before reintroducing the bill.”

Support for the TRB is notably stronger in southern Nigeria, where Christian-majority regions in the South-West, South-South, and South-East have largely endorsed the bill. The divide highlights the increasing regional and religious polarization surrounding the proposal.

As the bill continues to stir debate, questions remain about its potential winners and losers, both among the religious factions in the North and the broader regions of the country. Whether the TRB will scale through or face rejection in the long run remains uncertain.

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