The Presidency denies any plan to dissolve the National Information Technology Development Agency (NITDA), the National Agency for Science and Engineering Infrastructure (NASENI), or the Tertiary Education Trust Fund (TETFUND) through the proposed tax reform bills currently under review in the National Assembly.
Special Adviser to the President on Information and Strategy, Bayo Onanuga, addresses the controversy in a statement, clarifying that the bills aim to improve the quality of life for marginalized Nigerians rather than harm any region’s economy.
Onanuga explains that President Bola Tinubu introduces the Tax and Fiscal Policy Reforms to simplify Nigeria’s tax administration and create a conducive business environment.
He dismisses claims that the reforms propose ending NITDA, NASENI, or TETFUND by 2029, emphasizing that these agencies rely on budgetary allocations and existing taxes from businesses already burdened by multiple levies.
“For decades, businesses and investors have faced excessive taxation, complicating the business environment and forcing some companies to relocate. The proposed reforms consolidate these taxes into a single levy, balancing agency funding with reduced burdens on businesses,” Onanuga states.
The tax bill consolidates certain earmarked taxes into a single levy, with allocations distributed to NITDA, NASENI, and TETFUND until 2030. Onanuga says this phased approach allows these agencies to identify alternative funding sources while remaining operational.
“It is misleading to equate changes in funding sources with the dissolution of agencies. Globally, countries at the forefront of education, science, and technology do not impose separate taxes for specific agencies. This reform adopts international best practices by streamlining taxation to drive national development,” he adds.
The proposed tax reform sparks debate nationwide. The Northern Governors Forum opposes the bills and urges lawmakers to reject provisions perceived as unfavorable to the North. Similarly, the National Economic Council (NEC), made up of all 36 state governors, calls for the bills’ suspension to allow for broader consultations.
Despite these objections, President Tinubu insists the legislative process will include public hearings to address concerns and incorporate stakeholder contributions, ensuring transparency and inclusivity.
The tax reform bills address excessive taxation, foster economic growth, and streamline funding for critical agencies. While the proposals continue to stir debates, the government commits to balancing development goals with stakeholder interests.
, the National Agency for Science and Engineering Infrastructure (NASENI), or the Tertiary Education Trust Fund (TETFUND) through the proposed tax reform bills currently under review in the National Assembly.){kind=link}