President Bola Tinubu has given his approval for the establishment of a Presidential Committee on Fiscal Policy and Tax Reforms, in line with his commitment to removing barriers to business growth. Mr. Dele Alake, Presidential Adviser on Special Duties, Communications, and Strategy, made this announcement on Friday in Abuja.
The committee, chaired by Mr. Taiwo Oyedele, a Fiscal Policy Partner and Africa Tax Leader at PriceWaterhouseCoopers (PwC), will comprise experts from the private and public sectors. Its responsibilities include tax law reform, fiscal policy design and coordination, harmonization of taxes, and revenue administration.
Mr. Adelabu Adedeji, Special Adviser to the President on Revenue, highlighted that President Tinubu recognizes the significance of a sound fiscal policy environment and an effective taxation system for the government and the economy. He emphasized the low global ranking of Nigeria in terms of ease of paying taxes and the country’s Tax to GDP ratio, which is below the African average and one of the lowest in the world.
This over-reliance on borrowing to finance public spending has limited the fiscal space, as debt service costs consume a significant portion of government revenue, leading to inadequate funding for socio-economic development.
Adedeji identified key challenges in Nigeria’s tax system, including multiple taxes and revenue collection agencies, a fragmented and complex tax system, low tax morale, high prevalence of tax evasion, high cost of revenue administration, lack of coordination between fiscal and economic policies, and poor accountability in the utilization of tax revenue.
The establishment of the committee reflects President Tinubu’s commitment to addressing these challenges and implementing transformative reforms in fiscal policy and taxation. The committee’s primary objective is to enhance revenue collection, ensure transparent reporting, and promote the effective utilization of tax and other revenues to boost citizens’ tax morale, foster a healthy tax culture, and drive voluntary compliance.
These efforts aim to improve Nigeria’s revenue profile and create a more conducive and internationally competitive business environment. The committee will not only advise the government on necessary reforms but also drive the implementation of such recommendations in support of the comprehensive fiscal policy and tax reform agenda of the current administration.
Committee Chairman Taiwo Oyedele, who also chairs the Taxation and Fiscal Policy Faculty Board of the Institute of Chartered Accountants of Nigeria (ICAN) and serves as a member of the Ministerial Committee on the implementation of Nigeria’s National Tax Policy, brings extensive expertise to the committee’s mission.
Â
Â
Similar Posts:
- President Tinubu Appoints Special Advisers to Strengthen Administration
- President Bola Tinubu Embarks on London Visit Following Summit in Paris
- Presidential Approval Not Granted for Salary Increases of Political Office Holders and Judicial Officers
- President Bola Tinubu Suspends Godwin Emefiele as Central Bank Governor Amid Ongoing Investigation and Financial Sector Reforms
- President Bola Ahmed Tinubu to Address the Nation in Broadcast
