Ali Ndume, Senator for Borno South Senatorial District, has threatened to abandon the ruling All Progressives Congress (APC) over President Bola Tinubu’s four tax reform proposals.
Ndume made the remarks on Thursday evening during an appearance on Politics Today, a Channels Television programme, just hours after the Senate passed the bills for a second reading.
In October, President Tinubu requested the National Assembly to consider and pass the following: the Joint Revenue Board of Nigeria Bill, the Nigeria Revenue Service Bill, the Nigeria Tax Administration Bill, and the Nigeria Tax Bill.
The Borno senator has been outspoken in his opposition to the proposed legislation. Governors in northern states have also expressed their disapproval of the bills.
Speaking on the broadcast, Ndume stated that he is “close” to President Tinubu and does not want his administration to collapse.
“If not, look, I can leave the party,” Ndume replied.
He asked, “When you say those earning less than ₦800,000 will not pay VAT, on what? Does this imply that they are immune from VAT on the things they purchase on the market? And then you raise corporate taxes.
“Now the burden of these taxes will be transferred to consumers. So, are you really helping them?
“Even today, the price of cement has gone up, which means consumers will have to pay more. If you impose taxes on Dangote’s refined products, he will simply add that cost to the price per litre.
“So, when you say people earning less than ₦800,000 will not pay tax, what happens to those earning even less than that amount?”
The Senate is expected to hold a public hearing on the bills in the coming weeks.
