Northern Governors Back Tax Overhaul, Call For Review Of VAT Allocation – Sule

Northern Governors Back Tax Overhaul, Call For Review Of VAT Allocation – Sule
....KINDLY READ THE FULL STORY HERE▶

Northern governors have expressed strong support for a comprehensive overhaul of Nigeria’s tax system but have raised concerns about the current distribution of Value Added Tax (VAT), according to Governor Abdullahi Sule of Nasarawa State.

While speaking on the matter, Sule clarified that the northern governors are not opposed to tax reforms aimed at improving the nation’s fiscal policies. However, they are calling for a fairer and more equitable distribution of VAT revenues, which has been a point of contention among state governments.

The governors argue that the present VAT sharing formula disproportionately benefits states with higher economic activity, particularly in the southern region, leaving northern states at a disadvantage. Sule emphasized that a balanced approach to VAT distribution would ensure greater fairness and address the economic disparities between regions.

Sule’s comments come as part of ongoing discussions about reforming Nigeria’s tax structure to enhance efficiency and promote national economic growth. The northern governors continue to advocate for a system that benefits all regions equitably, without undermining the broader goals of tax reform.