How tax reform bill will boost economic growth for SMEs

The Tax Reform Bill has become a focal point in Nigeria, stirring mixed reactions from both stakeholders and the public. Comprising four key legislative proposals, the reform aims to overhaul the nation’s tax system, eliminating redundant taxes and harmonizing tax administration across federal, state, and local levels.

This includes renaming the Federal Inland Revenue Service as the Nigeria Revenue Service and establishing a Joint Revenue Board for a streamlined tax process.

President Bola Tinubu is a strong proponent of the bill, seeing it as a critical step toward economic growth and national development.

He has urged all regions to allow the legislative process to proceed without hindrance, underscoring that the reform aims to create a fairer, more effective tax system benefiting the entire nation.

Read also:

• SMEDAN begins ₦5 billion grant disbursement to support student entrepreneurs
• China cautions that global trade war will impact African SMEs, investment
• FG approves N120bn for vocational education, targets 650,000 youths
• Umo Eno empowers 655 small business owners, farmers in Ikot Ekpene with ₦260m support
• Fire guts shops in Kano’s Kurmi market

A notable highlight of the reform is the proposed VAT model, which prioritizes revenue allocation based on consumer location rather than production, benefiting regions with high consumption rates.

This approach supports economic equality across Nigeria, promising to alleviate taxpayer burdens and generate funds for public services.

As Nigeria advances these reforms, Tinubu’s administration advocates for a focus on the transformative impact of the Tax Reform Bill, which is envisioned to boost revenue, simplify compliance, and foster national progress.