Nigeria: Bill to Hike VAT to 7.5% Passes Second Reading in Senate

7 November 2019

The Nigeria Tax and Fiscal Bill seeking to increase the Value Added Tax from 5 per cent to 7.5 per cent yesterday passed second reading in the Senate.

This was despite the objection by some senators who claimed that they did not know the details of the bill because its copies were not made available to them.

Their objection was overruled by Senate President Ahmad Lawan.

Senate Majority Leader Yahaya Abdullahi said the bill had five strategic objectives including promoting fiscal equity by mitigating instances of regressive taxation, reforming domestic tax laws to align with global best practices, introducing tax incentives for investment in infrastructure, supporting ongoing ease of doing business reforms and raising revenues for government, including proposal to increase the Value Added Tax from 5 percent to 7.5 percent.

Senator Binos Yaroe, (PDP, Adamawa south) was the first to raise a point of order, saying the Senate rules stipulated that printed copies of the bill shall be distributed to members to understand the details before the debate continues.

"We are at the stage of the second reading of this bill. I don't know for others, but I have not received the bill, I don't know how we can debate a bill that we have not received." she complained.

Also, Senator Betty Apiafi, (PDP, Rivers West), lodged the same complaint.

But Senate President Ahmad Lawan said that would not be necessary.

"We are at this point going to debate the general principles of the bill and in line with our tradition and convention here, even the appropriation bill that we debate, we don't have the bill normally."

See What Everyone is Watching

More From: Daily Trust

Don't Miss

AllAfrica publishes around 700 reports a day from more than 140 news organizations and over 500 other institutions and individuals, representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct.

Articles and commentaries that identify as the publisher are produced or commissioned by AllAfrica. To address comments or complaints, please Contact us.