The Northern States Governors’ Forum (NSGF) has strongly opposed the recent Tax Reform Bill submitted to the National Assembly, specifically rejecting the proposed shift to a Derivation-based Model for Value Added Tax (VAT) distribution.
The governors argue that this model would disadvantage northern states and other regions, as VAT is currently remitted based on the location of company headquarters rather than where goods and services are consumed.
This stance was articulated in a communique read by Governor Muhammad Inuwa Yahaya of Gombe State, the Chairman of the NSGF, following a strategic meeting held in Kaduna. The meeting included northern traditional rulers, Chief of Defence Staff General Christopher Gwabin Musa, and other key stakeholders.
Governor Yahaya stated, “In view of the implications, the Forum unanimously rejects the proposed Tax Amendments and calls on members of the National Assembly to oppose any bill that may jeopardize the well-being of our people.”
Key Points from the Meeting:
- Sympathies and Solidarity:
The NSGF expressed condolences to victims of recent floods in Maiduguri and other northern regions, pledging support to families affected by terrorism, banditry, and other crimes. The governors committed to collaborating with the federal government to provide relief and rebuild impacted communities. - Enhanced Role for Traditional Institutions:
Recognizing the influence of traditional rulers, the Forum called for expanded roles for these institutions to strengthen cooperation with security agencies in addressing issues such as kidnapping, banditry, and communal clashes.
The meeting underscored the urgency of addressing pressing regional issues, including recent flood disasters, security challenges, infrastructure needs, and the ongoing electricity blackout affecting most of the north
