The House of Representatives has adopted the Tax Reform Bill as a working document, following deliberations on its various clauses during a session of the Committee of the Whole on Thursday.
Speaker of the House, Hon Tajudeen Abbas, who presided over the session, commended the Committee on Finance for its efforts, describing the bill as a reflection of Nigeria’s collective interests.
He said, “All 36 states, including the Federal Capital Territory, had their representatives in the sub-committee. This is the first time a report of this nature is receiving nearly unanimous approval.”
Presenting the report, the Chairman of the House Committee on Finance, Hon James Faleke, assured lawmakers that all contentious issues had been addressed.
One of the key recommendations, he noted, was that the Value Added Tax (VAT) should remain consumption-based, with the rate maintained at 7.5 per cent.
The committee also proposed the repeal of the Federal Inland Revenue Service (FIRS) Act and the establishment of the Nigeria Revenue Service (NRS) in its place.
Faleke further disclosed that the new agency would be responsible for revenue collection on behalf of the Federal Government.
The federal lawmaker also expressed confidence that the establishment of the NRS would lead to improved tax harmonisation and a more efficient administration of the country’s revenue system.
