Tax Bill: Presidency Faults Bauchi Gov’s ‘Inflammatory’ Remarks, Demands Retraction

Kehinde Fajobi

The Presidency has criticised Bauchi State Governor Bala Mohammed for his remarks against President Bola Tinubu’s Tax Reform Bill, urging him to retract what it described as “inflammatory” statements.

Mohammed had, during a Christmas homage by the Christian community in Bauchi on 25 December 2024, warned that the northern region would “show its true colours” if the Federal Government continued implementing tax reforms he labelled as “anti-northern.”

Reacting on Monday, Tinubu’s Special Adviser on Media and Public Communication, Sunday Dare, called the remarks unbecoming of a governor, insisting they undermine constructive dialogue between states and the Federal Government.

In a statement posted on his X handle, Dare said, “I urge him to retract these confrontational remarks and redirect his focus toward productive dialogue with the FG regarding any concerns about the Tax Reform Act.

“This unfortunate statement does not represent the collective voice of Northern Nigeria. The North, like other regions, seeks collaborative governance and constructive engagement with the Federal Government to address our nation’s challenges.”

Dare highlighted that Bauchi State had received ₦144bn in federal allocations under Tinubu’s administration, including a recent ₦2bn intervention fund to enhance food security.

He added, “Rather than issuing threats, his energy might be better directed toward implementing effective poverty alleviation programmes and ensuring transparent utilisation of these federal resources.”

The Presidency defended the tax reforms, arguing they aim to streamline multiple taxation systems, reduce the burden on small businesses, and attract investments.

“These reforms open doors for development by creating frameworks to attract investments through tax incentives and building capacity within state revenue services,” Dare stated.

He also addressed Mohammed’s critique of the reforms’ impact on northern states, saying targeted provisions, such as agricultural support and derivation funds, protect the region’s interests.

Dare urged leaders to prioritise unity and collaboration, warning that divisive rhetoric undermines national progress.

“The challenges we face—poverty to security, economic growth to social development—transcend state boundaries and political affiliations.

“The path forward lies not in confrontation but in collaboration, not in threats but in thoughtful engagement,” he said.

President Tinubu’s tax reform bills, introduced in October 2024, propose changes including raising Value Added Tax (VAT) to 10% by 2025 and imposing a 5% excise duty on telecommunications.

Critics argue the reforms could exacerbate regional inequalities, particularly in northern states. However, the Presidency assured that consultations with stakeholders would continue as the bills progress through the National Assembly.