Buba Galadima Criticizes Tax Reform Bills, Warns of Economic Hardship

Prominent Nigerian political figure, Buba Galadima, has raised concerns over the controversial tax reform bills recently submitted to the National Assembly by President Bola Tinubu’s administration. Galadima argued that the proposed legislation, particularly the VAT reforms, “cannot stand the test of time” and needs more comprehensive consultation with key stakeholders.

Appearing on “ThisDay Life,” a Sunday talk show on Arise News TV, Galadima expressed his reservations, warning that the VAT reforms could worsen the economic hardships faced by Nigerians. “If you increase VAT by 0.1%, prices in the country will skyrocket. The situation in Nigeria now is that you don’t add any hardship on the people,” he said.

The political figure raised constitutional concerns, arguing that the federal government lacks the authority to determine how revenue should be shared. “The sharing of revenue is not the responsibility of the federal government or the National Assembly. It is the responsibility of the Revenue Mobilization and Fiscal Commission,” Galadima explained.

Galadima also took issue with the consultation process surrounding the bills, claiming that key stakeholders had been excluded during their development. He suggested that some members of the committee responsible for compiling the bills were distancing themselves from the final version submitted to the President, suggesting it primarily benefited Lagos State.

“Members of his panel are already disowning the final bill sent to Mr. President because they were put in the committees and each committee submitted its report, but in compiling the general report, some ideas from some committees were completely set aside,” Galadima claimed. He alleged that Taiwo Oyedele, the head of the panel, selectively chose recommendations that suited his interests.

Galadima criticized Oyedele for not convening a meeting of all committee members to review and finalize the report before submission to the President. “Why is he not generous enough when he collects all the committee reports to call all of them, sit down, look at these committees, and adopt a final report to Mr. President?” Galadima questioned.

The political leader further alleged that state governors were largely excluded from consultations during the development of the controversial tax reform bills. He claimed that the only state with significant input was Lagos, led by Governor Babajide Sanwo-Olu. “Most governors in Nigeria are so piqued because when this bill was being created by Taiwo [Oyedele] and his group, they never consulted any governor outside Lagos,” Galadima revealed.

When questioned about claims that the bill had been presented to the National Economic Council (NEC), Galadima disputed assertions of broad consultation, arguing that while individual governors may express support privately to the President, they are collectively opposed to the reforms. “Even if any governor as an individual tells Mr. President that he’s supporting him, let him tell that governor that he’s lying. All of them are speaking with one voice,” Galadima stated.

Despite his criticism, Galadima urged against framing the opposition to the reforms in regional terms. He cautioned against referring to groups as “Northern governors” or “Southern governors,” emphasizing the importance of unity in addressing national issues. “We should be looking at these issues dispassionately… You don’t build a nation by segregating it into tribal or religious segments,” he argued.

While acknowledging the need for expanding Nigeria’s revenue base, Galadima called for a more inclusive approach to fiscal reforms. “Let’s put all hands together, look at this bill dispassionately. It’s a Nigerian bill, not a sectional bill or a personal bill of anybody,” he concluded.

Galadima’s comments come amid growing debate over the proposed tax reforms and the potential impact on Nigeria’s economy. His call for broader consultations and more inclusive policymaking has resonated with critics who believe the bills were rushed through without adequate stakeholder engagement.