Former Minister of Communications and Digital Economy, Prof. Isa Ali Pantami, has expressed discomfort with several sections of the proposed tax reform bills.
On Thursday, Nov. 28, the Senate passed the bills for a second reading despite resistance to it.
The proposed legislation, which seeks to prioritise the location of consumption as the basis for sharing Value Added Tax (VAT), has faced widespread resistance, particularly from northern stakeholders, including governors, traditional rulers, and the Northern Elders Forum.
In a statement on X on Tuesday, Dec. 3, Pantami, said that while the bill holds promise for transforming tax collection administration, it requires significant improvements to serve the national interest.
He highlighted that certain sections lack clear definitions, creating room for regulatory exploitation and implementation challenges.
The former minister advised the National Assembly to suspend legislative action on the bill temporarily, advocating for broader consultations involving all relevant stakeholders.
He emphasised that resolving the bill’s challenges requires contributions from constitutional, tax, and business law experts.
Among the sections Pantami identified for review are Sections 3(3), 7(6), 8(2), 23, 28, 95, 96, 97, 118, and 141, the latter being a supremacy clause he found particularly concerning.
However, he called on the government to rebuild trust with citizens, noting that widespread suspicion towards government policies is amplifying the country’s challenges.
Read his full statement below.