NLC seeks dialogue on tax reform bills

The Nigerian Labour Congress (NLC) has sought dialogue with the Federal Government on the Tax Reform Bill, especially as it affects the workforce nationwide.

The President of the Union, Joe Ajaero, made this known at the unveiling of the CNG bus presented to the Southwest chapters of the Union in Ibadan.

Ajaero submitted that the dialogue became imperative in order to address some of the noticeable grey areas in the Bill.

According to him, “There is a need for collaboration with the government to straighten out some issues as spelt out in the Bill.

“There is a section of the Bill that stated zero taxation for workers earning below N800,000 per annum, but you and I know that in the public service, people have gone beyond maybe levels 2 and 3.

“It then means that all workers in Nigeria will be affected because if we take a baseline of N70,000 per month which somebody is supposed to pay, but there is nobody on level 1 step 1 that is N70,000, which means that no worker is exempted in the payment of taxes.

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“That is the area that people are seeking clarification. What we are saying is that we need to talk so that we tell you where it is hurting us.”

Also in his presentation, a lecturer at Lead City University Ibadan and Tax Professor, Godwin Oyedokun, submitted that taxes are essential for building society, but cautioned against taxing people without the means to pay, which he described as “taxing poverty.”

Oyedokun clarified that the new tax is aimed at those with luxurious lifestyles, ensuring they contribute to the system.

He also highlighted the significance of tax reform in capturing revenue from informal sectors and digital businesses.

He, therefore, urged the NLC to engage in positive negotiations with the government, rather than opposing the reforms outright, suggesting that those resisting reforms may be motivated by self-interest.

At a separate event, the state governor, Engr Seyi Makinde, unveiled the CNG buses donated to the NLC by the Federal Government.

Speaking through his Deputy, Barrister Bayo Lawal, the governor called for increased collaboration with the union.

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