The Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, has criticized the federal government’s tax system, alleging that it has yielded little to no results despite over 60 taxes and levies being collected nationwide.
Oyedele made the statement during Wednesday’s Senate plenary session.
“The fiscal system we have today inhibits growth, as more than 60 taxes and levies are collected from across the country but nothing to show for it,” Oyedele said.
He highlighted the need for urgent reforms, stating that the current system forces businesses to pay taxes even when operating at a loss, which discourages investment and economic growth.
“We do not want to tax capital or poverty but investment. We are beginning to lose our tax base to other countries. This is why it is urgent to reform the tax system,” he added.
Following his remarks, the Senate deferred its questions, opting to invite Oyedele’s team on the next legislative day for further clarifications on the proposed tax reforms before reaching a resolution.
Oyedele’s comments came amid a heated session in the Senate, sparked by the entry of Zacch Adedeji, Chairman of the Federal Inland Revenue Service (FIRS), and consultants into the chamber.
The lawmakers suspended their rules to allow Adedeji and the consultants to explain the contents of the proposed Tax Reform Bill. However, their entry was initially met with resistance from some senators, causing a brief uproar.
Oyedele is spearheading efforts to advance the controversial Fiscal Policy and Tax Reform Bill, which aims to overhaul the nation’s tax system and improve efficiency.
