The Nigeria Governors’ Forum (NGF) has announced its support for new tax laws proposed by President Bola Tinubu. These laws, called the Tax Reform Bills, are currently being discussed by lawmakers at the National Assembly.
In a meeting held on Thursday, the governors agreed to keep the current rates for Value Added Tax (VAT) and Corporate Income Tax (CIT). This means there won’t be any increase in taxes for now, helping to keep the economy stable.
The governors also approved a new way of sharing VAT money. It will now be divided like this:
50% equally shared among all states,
30% based on how much each state contributes, and
20% based on population size.
This new system is meant to ensure that all states get a fair share of the money.
The governors stressed the importance of modernizing Nigeria’s old tax laws to improve the economy and meet global standards. They also said that basic items like food and farm products should not be taxed, to help people afford essential goods.
The meeting was led by the Forum’s Chairman, Governor AbdulRahman AbdulRazaq of Kwara State, who signed the official statement.
