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House of Representatives
Members of the House of Representatives on Thursday underscored the need for President Bola Ahmed Tinubu’s administration to refrain from shifting economic burden through unnecessary and multiple taxations on already burdened citizens.
The resolution was passed as a sequel to the adoption of a motion on matters of urgent public importance sponsored by Hon. Peter Aniekwe and co-sponsored by the Minority Leader, Hon. Kingsley Chinda, Hon. Aliyu Madaki, Hon. (Dr.) Ali Isa, Hon. George Ozodinobi, and Hon. Fred Agbedi, calling for the House intervention amidst socio-economic woes.
The House also calls for immediate suspension of any new tax initiatives that disproportionately affect the low-income population until a comprehensive review of their impact is conducted.
In his lead debate, Hon. Aniekwe lamented thatthe “current economic situation of the country, characterised by rising inflation, unemployment, and the increasing cost of living, which has led to widespread hardship for the masses.
“The House is aware that the imposition of multiple taxes, levies, and charges at various levels of government only serves to exacerbate the financial strain on citizens, particularly those in low-income brackets, many of whom are already struggling to meet basic needs such as food, healthcare, housing, and education.
“The House is cognisant that the government’s primary responsibility is to alleviate the economic challenges faced by the masses, ensuring policies that promote economic development, social welfare, and prosperity for all citizens.
“The House is concerned that the introduction of additional and sometimes unnecessary taxes, including consumption taxes, service taxes, and levies on essential goods and services, places an undue burden on the masses, further widening the inequality gap.
“The House is mindful that while taxation is necessary for government revenue, a balance must be struck between revenue generation and the economic well-being of Citizens, particularly at a time when many families and businesses are still recovering from the economic impact of global and local challenges.
“The House is convinced that there are alternative measures that can be taken to increase government revenue without overburdening the masses, such as expanding the tax base by improving tax administration, reducing government waste, and curbing corruption,” he argued.
To this end, the House urged the Federal Government and relevant authorities to be sensitive to the plight of the masses by reviewing current tax policies to prevent the imposition of unnecessary and multiple taxes, particularly on essential goods and services;
Hence, the House mandated the joint Committees on Finance and FIRS to within three weeks conduct a thorough review of existing tax laws and policies to streamline tax collection processes and eliminate redundant or overlapping taxes that contribute to the financial burden on citizens with a view to identifying areas of double taxation at all levels to provide relief to citizens without jeopardizing government revenue targets.
The lawmakers also tasked the Federal Government to consider alternative revenue generation strategies such as widening the tax net to capture more high-income earners, strengthening enforcement of existing tax laws, plugging leakages in the system; exploring measures to increase the export of cash crops and agricultural products;
The House also directed the National Orientation Agency (NOA) and other relevant agencies to embark on an awareness campaign to educate the public on their tax rights and responsibilities and to report any cases of exploitation or unjust taxation to the ombudsman;
In line with legislative practice, the House mandated its Committee on Legislative Compliance to oversee the manifestation of the resolutions herein. (Nigerian Tribune)