Nasarawa State Governor, Abdullahi Sule, has clarified his initial opposition to the proposed tax reform bills, emphasising that his primary goal was to ensure the bills underwent thorough scrutiny before any decisions were made.
Governor Sule explained that his earlier resistance stemmed from concerns about the removal of Value Added Tax (VAT) from the Federation Account Allocation Committee (FAAC), a sentiment shared by other northern governors.
“The moment you take VAT out of FAAC, 60 percent of that goes to derivation. Other people are introducing consumption,” he stated, highlighting the potential impact on revenue distribution across states.
Despite these concerns, Sule acknowledged that the Northern Governors’ Forum missed opportunities for dialogue, as its leadership cancelled four scheduled meetings with the Presidential Committee on Fiscal Policy and Tax Reforms, chaired by Taiwo Oyedele.
Now backing the bills, Sule attributed his change of stance to the progress made in addressing initial grievances. “We have achieved our goal, and that is the reason today I talk differently. The bill is now open for further review,” he said.
The governor commended the House of Representatives, particularly Speaker Tajudeen Abbas, for facilitating meaningful discussions on the reforms and addressing the concerns raised by various stakeholders.
Sule’s remarks signal a shift in the northern governors’ narrative, highlighting the importance of constructive engagement in shaping fiscal policies critical to the nation’s development.
