By Blessing Otobong-Gabriel
The Coalition of Northern Groups (CNG) has rejected the proposed tax reform bill, calling for its immediate suspension.
According to the CNG, the proposed tax reforms currently before the National Assembly are unacceptable and require urgent attention.
It’s worth noting that the CNG’s rejection of the tax reform bill is part of a broader debate about the role of taxation in Nigeria’s economy. As the National Assembly continues to deliberate on the proposed tax reforms, it’s likely that we’ll see more discussions and debates about the potential impact on various sectors, including education.
In a statement Signed by the National Coordinator, Hassan Adamu the reform will have a deteriorating effect on critical Institutions that has support the educational development in the country.
“We see the Tax Reform Bill as a deliberate attempt to attack our critical National Institutions that are responsible for basic infrastructure in Tertiary institutions, thereby ensuring that the institutions become a mortuary”.
The CNG- Students-Wing said, “we rejected the reform in totality the proposed TAX Reform Bill on eduction that is designed by the enemies of the state to undermine our already paralysed educational sector. As a matter of fact the bill is designed to undermine our existing educational institutions and equally ensure that anything good in the sector becomes a history, which Nigerian students will vehemently resist no matter what”.
CNG-SW said they have watched carefully in the recent weeks and months about activities of the Nigerian Government regarding certain policies on education and has x-rayed its negative impacts and detrimental consequences to the educational sector in the country and Nigerian students in particular.
“Without any fear of contradiction, we say the committee is any enemy to the teeming Nigerian students that have struggled to bring the current democratic dispensation in the country. As a matter of urgency we draw the attention of all well-meaning Nigerians on the following and necessary action must be taken within a shortest period of time”.
The CNG noted, the Tertiary Education Trust Fund, TETFUND, contributions of this single institution since its inception can not and will not be over emphasised having played a pivotal role in financing researches, physical infrastructure, Staff training and development, TETFUND which is currently funded through 3% of Tertiary Education tax on companies annual accessible profit; will now receive 50% of the levy by 2025 and 2026 it will increase to 66% from 2027 to 2029 be for diminishing to 3%.
“According to the proposed Tax Reform Bill. TETFund will not have any allocation by 2023 which by implication will lead TETFund to extinction, a situation which is tantamount to degrading the Tertiary Education system in Nigeria”.
“It is imperative to state that the Bill will favour NELFUND with its long-term negative consequences which will increase access to student loans which will trap our youth in bondage and possibly turn the institutions into revenue generating agencies”.
“NELFUND is currently funded by 1% deduction collected from Taxes, levies, and duties collected by federal inland revenue service (FIRS), it will now receive 25% of the levy in 2025 and 2026, 33% from 2027 to 2029 And 100% by 2030 according to the new Tax Reform Bill”.
According to the Group, the implication of this is that, the proposed bill if passed will divert funds to critical sectors such as infrastructure, innovation initiatives with long-time development impact. It shifts attention to Students loan, this could also give reason for the public Tertiary institutions to increase their tuition fees.
“It could also make our public Tertiary institutions to be one revenue generating entity, paving way for privatization of our Tertiary institutions there by making it inaccessible to the masses. This will also saddle our youth with unsustainable debt burden”.
“This mirrors the country’s chronical national indebtedness, and as well risks creating a generation of financially constrained youth that are capable of contributing meaningfully to our economy”.
CNG-SW therefore call on the federal government for the interest of Nigerian Students to discontinue the reform process and give room for a holistic consultation and amendment before legislation.
CNG-SW also call on all patriotic legislators and all well meaning Nigerians to study the Bill with a keen interest and ensure justice to our educational institutions and Nigerian students.
