LET'S TALK ABOUT THE POLARIZED PRESIDENTIAL TAX REFORM BILL
The proposed reforms have been met with strong opposition, with Senator Ndume storming out of the legislative session, alongside some Northern senators. Senator Barau has also faced backlash for chairing the session and accused of manipulatively facilitating the reform's second reading passage in the Red Chamber. Northern governors forum categorically opposed it and many other stakeholders. In the words of Jaafar Jaafar " Zulum ta cire soro ta saya da kafanta. " This is evident in an interview Governor Zulum granted with BBC Hausa saying that many states not only in the North but Southeast and some southwest may not afford to pay salary upon passing of this tax reform. The most problematic concept of the reform is about the VAT sharing formula. Since 1993 the VAT is shared thus: 15% Federal government 50% States government (36+FCT) 35% Local government (774) But the boiling point is how the VAT between and amongst states is being shared and here is the existing formula....