The Centre for the Promotion of Private Enterprise has appealed to the President, Major General Muhammadu Buhari (Ret’d.), to withhold assent on the 2022 Finance Bill until the National Assembly properly engages stakeholders as required by legislative protocols.
Leadership reported that the Chief Executive Officer of CPPE, Dr. Muda Yusuf, made their opinion known in a statement, describing the action as disrespectful, disregarding and contempt towards the Nigerian people.
He said, “The Centre is disturbed by the rushed passage of the 2022 Finance Bill by the National Assembly. It calls to question the representation role of the Assembly. There was practically no room for public hearing and engagement with stakeholders in the consideration of the bill.”
“This is a major let down by the National Assembly in its representation role in our democracy. The action is not consistent with the ideals and principles of our democracy because sovereignty belongs ultimately to the people. What the National Assembly has done is tantamount to disrespect, disregard and contempt of the Nigerian people and the business community.
“The Bill that has been passed contained the following provisions, among others: imposition of excise duties on all services with rates to be determined by a presidential order; imposition of 0.5 per cent tax on all eligible imports from non-African countries to fund Nigeria obligations to international organisations; an increase in Tertiary Education Tax from 2.5 per cent to three per cent of company profit.
“The public notice was published on December 21, 2022 for a public hearing scheduled for December 22, 2022. There is no better expression of deliberate exclusion of stakeholders from this important legislative process.
“The House of Representatives gave a more generous notice of about three weeks. But in a sudden and baffling twist of events, the House passed the bill before the date of the advertised public hearing which was January 13, 2023. The bill has since been forwarded to the President for assent. This haste is incomprehensible.
“It is regrettable that National Assembly hurriedly passed the bill without the benefit of input from citizens whom they were elected to represent.
“This is a major letdown by the National Assembly in its representation role in our democracy. The action is not consistent with the ideals and principles of our democracy because sovereignty belongs ultimately to the people,” he added.
He also explained the Bill that has been passed contained the following provisions, among others: imposition of excise duties on all services with rates to be determined by a presidential order; imposition of 0.5 per cent tax on all eligible imports from non-African countries to fund Nigeria obligations to international organizations; and an increase in Tertiary Education Tax from 2.5 per cent to three per cent of company profit.
He highlighted that all of these have long-lasting implications for investors and citizens, explaining that it would affect the cost of production, operating cost and undermine investors’ confidence.
Yusuf, therefore, called on the President to withhold assent on the 2022 Finance Bill until the National Assembly properly engages stakeholders as required by legislative protocols.
He also appealled to the President not to leave a legacy of unbearable tax burden for investors in the Nigerian economy, adding that the torrent of taxes, levies, fees is crippling businesses.