NILDS Technical Committee on Tax Reform Holds Validation Workshop with Stakeholders

  • Monday June 4, 2018 15:58 PM
  • NILS Press Corps
The Chairman Senate Committee on Finance Sen. John Enoh who also doubles as the Chairman of the Technical Committee constituted by the President of the Dr. Bukola Saraki to review all existing tax laws in Nigeria with a view to reforming the Nigerian Tax System, has urged critical stakeholders to robustly engage with the submissions made by the Committee so as to improve the contents and recommendations that would eventually be given serious legislative attention.

The Chairman said this on Monday, June 4, 2018 while addressing members of the Committee alongside other stakeholders in the Tax sector, at a workshop aimed at considering and validating the Report of NILDs Technical Committee on Reforming the Nigerian Tax System.

He stated that the move to reform the country's tax system is timely and important particularly in the face of the numerous challenges that have been spotted bedeviling tax system which include among others multiplicity of taxes, complexity of tax laws, and tax policy and disperse laws and regulations implementation strategy. Adding that these challenges identified by the Committee have grossly affected investment decisions and ease of doing business in Nigeria.

The Senator noted that presently, the country is in serious need of a rejigged and strong tax system that will foster mobilization of tax revenue, investment, provision of goods and services and overall economic development of the nation. Enoh who is also an Economist expressed concern that at present the tax yield, measured by ratio of tax revenue to Gross Domestic product is about 10%, which he judged low when compared to other developing countries.

Earlier, the Director General of the National Institute for Legislative and Democratic Studies, Prof. Ladi Hamalai said that it's imperative for the nation's tax system to be thoroughly overhauled and modernized to bring it at par with global best practices, especially now that the various regulatory measures that govern market forces are rapidly evolving. She reiterated that the proposed tax reform, if successfully and holistically done, has the potential of ensuring economic growth as well as enhancing the standard of living on the long term.

Prof Hamalai noted that the primary objective of the Technical Committee is to meticulously undertake a comprehensive review of Nigeria's tax system and subsequently recommend feasible ways of making it effective and efficient. She added that in a bid to achieve the objective, the Committee reviewed first and foremost all previous efforts by various organizations and Committees on reforming tax administration and ease of doing business in Nigeria.

Salient contributions were harnessed from the workshop which the chairman acknowledged would no doubt enrich the contents of the Report that will be presented to Senate President for further legislative action.