Nigeria Tax and VAT Reform Bill Passed Second Reading in Senate

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Senate President Ahmad Lawan
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 has five strategic objectives.
1. Promotion of fiscal equity
2. Reforming domestic tax laws to align with global best practices
3. Introduction of tax incentives for investment in infrastructure.
4. Support of ongoing ease of doing business reforms
5. Raise revenues for government including proposal to increase the value added tax (VAT) from 5% to 7.5%.

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."

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