In a recent interview on TVC, Governor Babajide Sanwo-Olu of Lagos State voiced his support for the ongoing tax reform initiatives, asserting that they are designed to be equitable for all Nigerians. This statement comes amidst debates and discussions concerning the proposed Tax Reform Bills by the federal government, which aim to restructure Nigeria’s tax system.
Governor Sanwo-Olu emphasized that the proposed reforms, although initially met with skepticism due to perceived regional biases, have been thoroughly reviewed and understood by many state leaders, including himself. “It is not true that Lagos will be the biggest beneficiary,” he clarified, countering earlier claims that suggested an uneven distribution of benefits favoring Lagos. He reassured that “these reforms are intended to hurt no one but to foster a fair and inclusive system that benefits everyone,” underscoring the nationalistic approach of the bills.
The governor detailed how the tax bills aim to increase revenue across all three tiers of government: federal, state, and local, with an equitable distribution that considers even areas less economically viable. “There will be a fairer distribution of it, where equity will also come to bear,” Sanwo-Olu noted, highlighting that while there might be initial adjustments, the long-term benefits would be a win-win for all Nigerians.
Sanwo-Olu’s comments follow extensive consultations and educational efforts among state governors. He revealed that there was initially a lack of understanding regarding the extent of the reforms, but after governors took time to be schooled on the matter, a significant number are now convinced of the reforms’ necessity and potential benefits. This shift in perspective comes after months of dialogue and expert advice, leading to broader governor support for the bills.
The governor also addressed concerns from various quarters, particularly from northern states, which had expressed fears that the tax reforms might disadvantage their region. Sanwo-Olu dismissed these concerns, suggesting that the bills are structured to be fair across the board. He emphasized that the reforms are not anti-North or biased towards any region but are meant to encourage economic prosperity for the entire country.
Moreover, the Lagos State Governor has been actively engaging with stakeholders to clarify misconceptions about the reforms. He has personally urged the Presidential Tax Reform Committee, chaired by Taiwo Oyedele, to intensify public engagement to ensure that the populace understands the intentions and benefits of the proposed changes.
Governor Sanwo-Olu’s endorsement of the tax reforms as fair and beneficial to all Nigerians is a significant development, potentially influencing public and political opinion as the National Assembly deliberates on these bills. His assurance that the reforms will not lead to the impoverishment of any region but aim at a balanced economic growth strategy is likely to be a pivotal point in the ongoing discussions about Nigeria’s fiscal policy.