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Tax Reform Bills Propose New Sharing Formula, Cede 55% to State Govt

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The Senate on Thursday resumed its debate on the Tax Reform Bills, a set of four legislative proposals to increase value-added tax (VAT) distributable to the subnational governments to 55% while reducing the federal government’s share to 10%.

The new legislative regimes also proposed zero VAT on exports and essential consumptions by the masses and grant of input VAT credit on assets and services in addition to goods consumed by businesses to lower the cost of production

These far-reaching initiatives were contained in the lead debate of Leader of the Senate, Senator Opeyemi Bamidele on the Tax Reform Bills at the Senate Chamber, National Assembly Complex, Abuja yesterday.

The Federal Executive Council had proposed the Tax Reform Bills comprising the Joint Revenue Board of Nigeria (Establishment) Bill, 2024; Nigeria Revenue Service (Establishment) Bill, 2024; Nigeria Revenue Service (Establishment) Bill, 2024 and Nigeria Tax Bill, 2024.

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The bills elicited spirited interests among key lawmakers and stakeholders across party lines, a situation that informed the leadership of the Senate to invite Chairman, Presidential Fiscal Policy and Tax Reforms Committee, Mr. Taiwo Oyedele and Chairman, Federal Inland Revenue Service, Dr. Zacch Adedeji to brief its plenary.

Leading debate at the plenary, Bamidele reeled out far-reaching proposals contained in the Tax Reform Bills, which according to him, aims at simplifying the tax landscape, reducing the burden on small business and streamlining how taxes are collected.

In the area of tax exemptions, Bamidele pointed out that those, whose salaries are not more than the minimum wage from Pay As You Earn (PAYE) deductions, would be exempted from the tax regime.

He also said small businesses with annual turnover of N50 million or less “are equally exempted from payment of taxes,” a key pro-business initiative that encourages job creation; deepens ease of doing business and incentivises more investments.

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Similarly, the senate leader explained that there was a proposed huge reduction in company income tax from the current 30% to 25% that would last for at least two years.

He said: “As part of deliberate attempt to curtail the incidence of double taxation and multiplicity of taxes and levies, multiple taxes hitherto paid by companies under various tax heads namely 2.5% education tax, 0.25% NASENI tax have been harmonized into a development level of 2% which by 2030 will be applied to fund the newly established student loan scheme which will benefit many Nigerian youths.

“Unlike what is obtainable under the existing tax regime whereby the Federal Government takes a lion share of VAT revenues, it is proposed that the sharing formula should allow the State Government share 55% of VAT revenue from the current 15% to 10% sharing formula.

“However, Local Governments share of VAT revenue remains unaffected. Relatedly, basic items consumed by Nigerian households such as food items, medical services and pharmaceuticals, educational fees, electricity etc. are exempted from VAT.

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“Again, as part of efforts to ease the administration of income taxes and levies across the Federation, there is a reasonable effort made to consolidate core tax statutes and related tax legislations,” Bamidele explained.

Contrary to misrepresentations in the public domain regarding the intendment of the Bills under consideration, Bamidele explained that the bills contained innovative and people-oriented proposals as part of the government’s deliberate fiscal and tax reform measures to cushion the effect of ongoing broader economic policies such as the removal of subsidy on petroleum products, renewed efforts to implement cost -reflective electricity tariffs in the power sector etc on Nigerian citizens.

In his contribution, former Chief Whip of the Senate, Senator Ali Ndume (Borno South) claimed that his problem was about timing and the issue of derivation.

He added that the Constitution of the Federal Republic of Nigeria, 1999 (as amended) must be amended before the Tax Reform Bills should take effect, therefore calling for its immediate withdrawal.

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Ndume observed: “I am not against the reform, my problem is timing and the issue of derivation make the reform contagious. The 1999 Constitution has to be amended before the bills can be effective.”

However, the Chief Whip of the Senate, Senator Mohammed Munguno (Borno North) expressed strong objection to Ndume’s submissions, asking the Senate to disregard it and pass the bills for second reading.

Munguno urged the Senate to pass the bill into second reading, advocating that all areas of concern would be addressed at the public hearing stage.

After the debate that featured Chairman, Senate Committee on Finance, Senator Sani Musa and Chairman, Senate Committee on Ecology, Senator Seriake Dickson, the Senate unanimously passed the bills into second reading following Munguno’s final position.

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In his remarks, the President of the Senate, Senator Godswill Akpabio referred the bill to the Senate Committee on Finance, advising the Committee to invite all the stakeholders to the public hearing to address all areas of concern.

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Army Hands Over Rescued Oyo Teachers, Pupils To Governor Makinde

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The Nigerian Army has officially handed over the teachers and pupils rescued from captivity in Oyo State to Governor Seyi Makinde.

The handover ceremony took place on Monday at the Oyo State Secretariat in Ibadan, where the General Officer Commanding (GOC), 2 Division, Nigerian Army Headquarters, Major General Chinedu Nnebeufe, personally presented the rescued victims to the governor.

The victims were abducted on May 15, 2026, from Oriire Local Government Area of Oyo State and spent more than 50 days in captivity before regaining their freedom.

They were rescued on July 12 following an extensive security operation involving the Nigerian Army and other security agencies.

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The operation, which lasted several weeks, reportedly targeted the kidnappers’ network, logistics channels and hideouts before the victims were eventually freed.

Receiving the rescued teachers and pupils, Governor Makinde expressed gratitude to the military and other security agencies for their efforts in securing the safe release of the victims.

The successful rescue has been widely welcomed by Nigerians, with many commending the coordinated operation while urging security agencies to sustain efforts aimed at tackling kidnapping and other violent crimes across the country.

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United States Lobbying Firm Offers Asylum Support To Adeniyi Adeyemi Amid PFIPC Scandal

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A United States-based lobbying firm, Von Batten-Montague-York, has said it is willing to assist Prince Adeniyi Adeyemi, the embattled Director-General of the controversial Presidential Foreign Intervention Promotion Council (PFIPC), in seeking asylum in the United States.

The Genius Media Nigeria reports that the firm also called for an investigation by American authorities into allegations made by Adeyemi against senior Nigerian government officials.

The development follows a series of posts shared over the weekend and on Monday by the firm’s representative, Dr Von Batten, on 𝕏.

In one of the posts published on Saturday, Von Batten said the organisation was interested in speaking directly with Adeyemi and was prepared to support any application for asylum and whistleblower protection.

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“To anyone in contact with Mr. Adeyemi, we are very interested in speaking with him. We are prepared to assist Mr Adeyemi in seeking asylum in the United States and requesting whistleblower protection,” he wrote.

The lobbyist argued that allegations involving World Bank-financed projects could attract the attention of US authorities because of Washington’s role in the international financial institution.

“Because @WorldBankGroup funds reportedly form part of Nigeria’s national budget, and the United States is the World Bank’s largest shareholder, any credible allegations involving those funds would be of significant interest to U.S. authorities,” he stated.

He further warned that if anything happened to Adeyemi, his organisation would demand a thorough investigation into the circumstances.

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In another statement issued on Monday, Von Batten said he had spoken directly with Adeyemi and believed his claims deserved further scrutiny.

He wrote, “This is Dr. Von Batten. I just spoke with Mr. Adeyemi. I found him to be sincere and credible.

“Based on our discussion, I believe his allegations warrant an investigation by Congress, @StateDept, @USTreasury, @USGAO, and other relevant U.S. agencies due to the alleged misappropriation of U.S.-funded World Bank loans by senior members of the Nigerian government.”

He also claimed that his organisation had already briefed senior members of US President Donald Trump’s team and would begin engagements with members of Congress this week.

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“This past weekend, I briefed senior members of President @realDonaldTrump’s team on these allegations, and our team will begin briefing Members of Congress this week,” he added.

According to Von Batten, Adeyemi alleged that he was appointed to head the PFIPC by President Bola Tinubu’s Chief of Staff, Femi Gbajabiamila.

The lobbyist further claimed that Adeyemi told him the agency operated from government premises, maintained accounts with the Central Bank of Nigeria, and received funding from the national budget, including resources allegedly linked to World Bank-supported projects.

Von Batten also said Adeyemi accused Gbajabiamila of demanding 45 per cent of the agency’s budget and alleged that he became a target after refusing to comply.

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The claims have not been independently verified, and the Presidency has consistently denied wrongdoing in relation to the PFIPC controversy.

The American lobbyist also claimed that Adeyemi informed him that he and members of his family had gone into hiding over fears for their safety.

Von Batten warned that if any harm came to Adeyemi while he was preparing to cooperate with US authorities, those circumstances should be thoroughly investigated.

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Reps Launch Nationwide Probe into Illegal Mining, Vow Crackdown on Revenue Leakages

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By Gloria Ikibah

The House of Representatives has commenced a comprehensive investigation into illegal mineral exploitation across Nigeria, pledging to tackle the activities of criminal networks draining the country’s vast mineral resources.

The move was the resolution at a high-level stakeholders’ workshop on extractive industry governance organised by the House Ad Hoc Committee on Mineral Exploitation, Security and Anti-Money Laundering on Monday in Abuja.

Declaring the workshop open, Speaker of the House of Representatives, Rt. Hon. Tajudeen Abbas, described the committee’s assignment as one of the most significant responsibilities before the National Assembly.

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He lamented that for years, illegal operators had continued to exploit Nigeria’s mineral wealth, depriving the country of much-needed revenue and weakening its economic potential.

Abbas explained that the workshop was designed to gather credible information, evidence and practical recommendations from regulators, security agencies and operators within the extractive industry before the House considers further legislative action.

He urged participants to speak openly and contribute meaningful solutions.

According to him, “Nigeria cannot achieve economic diversification, fiscal stability or job creation if the sector that should be a second revenue pillar is bleeding from illegality and opacity.

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“This is not an inquisition; it is a partnership. Withhold nothing, speak plainly and proffer solutions. The success of this intervention depends on the quality of information we receive and the sincerity of purpose we all bring to this room”.

Earlier, Chairman of the House Ad Hoc Committee on Mineral Exploitation, Security and Anti-Money Laundering, Rep. Sanni Abdulraheem, said the committee was also examining whether existing laws and regulatory institutions were strong enough to close loopholes that continue to encourage illegal mining.

He explained that the investigation will also trace the financial networks through which proceeds from illegal mining are concealed and laundered, while assessing whether security arrangements around mining communities are adequate.

Abdulraheem identified illegal mining, weak enforcement and money laundering as the major factors responsible for the disconnect.

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“Nigeria is blessed. Few nations on earth carry the range and richness of mineral deposits that lie across our states—gold, lithium, tin, coal, tantalite and many more. On paper, these resources should be transforming livelihoods, funding schools and hospitals, and strengthening our national economy. Yet, for too long, a troubling gap has persisted between the wealth in our ground and the prosperity in our communities.

“That gap has a name: illegal mining, weak enforcement, and the laundering of proceeds that should belong to the Nigerian people. It is a gap filled instead by criminal networks, by revenue leakages we can no longer afford to ignore, and by security threats that have, in some of our communities, turned mineral-rich land into contested and dangerous territory”, hesaid.

The lawmaker noted that the committee had already engaged several government agencies and, where necessary, issued summons to compel cooperation.

He emphasised that the exercise was not intended to create confrontation but to ensure transparency and accountability.

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“Oversight without candour achieves nothing, and reform without accurate information is guesswork dressed as policy,” he added.

Abdulraheem maintained that addressing illegal mining required collaboration among regulators, security agencies, financial intelligence institutions, state governments, traditional rulers, licensed operators and civil society organisations.

He also commended security agencies, particularly the Nigeria Security and Civil Defence Corps (NSCDC) and the Mining Marshals, for their efforts in protecting the country’s mineral resources.

According to him, “We must understand your capacity gaps honestly, so that we can recommend the support and reform you genuinely need.”

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He further noted that illicit mining proceeds often pass through complex financial channels that require coordinated efforts to track and dismantle.

“Illicit proceeds do not vanish—they move through accounts, shell arrangements and cross-border channels that can be traced with the right tools and the right political will. We look to your expertise to help this Committee and the nation close those channels,” he said.

He therefore assured participants that all submissions, data and recommendations received during the workshop would form part of the committee’s final report to the House.

Also speaking at the event, the Nigeria Security and Civil Defence Corps disclosed that its Mining Marshals had arrested more than 671 suspected illegal miners across the country, with 397 already facing prosecution.

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Representing the Commandant-General of the NSCDC, Ahmed Audi, the Commander of the Mining Marshals, Attah Onoja, said the Corps had dismantled several illegal mining sites, leading to improved government revenue and renewed investor confidence in the sector.

He, however, identified inadequate logistics, limited manpower, delays in the judicial process and interference from organised criminal syndicates as major obstacles to effective enforcement.

Onoja called for increased funding, improved surveillance technology and the establishment of specialised courts to handle mining-related offences more efficiently.

The workshop attracted regulators, security agencies, industry operators and other stakeholders, who pledged to support efforts aimed at sanitising Nigeria’s mining sector and ensuring that the country’s mineral resources contribute meaningfully to national development.

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