The Coalition of Northern Groups (CNG) Students’ Wing in Yobe State has called on the Federal Government to halt the proposed Value Added Tax (VAT) increase and instead reduce the current rate to 3%.
The recommendation was made during a town hall meeting held at Federal University, Damaturu, to deliberate on the implications of the Tax Reform Bills on citizens, particularly students.
Themed “Reform Bills: A Catalyst for Economic Growth or a Burden on the People,” the event gathered over 97 youth and student groups.
In a statement jointly signed by Comrade Adamu Ibrahim Galadima, the CNG Students’ Wing Coordinator, the coalition emphasized that lowering VAT would provide relief to Nigerians and stimulate economic activity.
“This reduction will provide relief to citizens and businesses while encouraging economic activity. Alternative revenue-generating strategies must be explored to avoid placing additional financial pressure on ordinary Nigerians,” Galadima said.
The coalition unanimously rejected the proposed Tax Reform Bills, citing their lack of inclusivity and potential adverse effects on various regions and sectors.
They stressed the need for thorough consultations with stakeholders, including civil society organizations, educational institutions, and local governments, to ensure fairness and equity in the reform process.
The group also urged lawmakers to reject the bills, highlighting that they had been overwhelmingly opposed by constituents
“The reforms must undergo thorough consultation to promote national unity and balanced development,” the statement read.
The coalition further condemned any plans to defund or restructure agencies such as the Tertiary Education Trust Fund (TETFUND), the National Information Technology Development Agency (NITDA), and the National Agency for Science and Engineering Infrastructure (NASENI).
According to the group, these institutions are crucial for advancing education, technology, and industrial development in Nigeria.
“Funding and mandates of these parastatals must be strengthened to address critical challenges like research, innovation, and capacity building for sustainable national development,” the statement added.
In addition, the coalition opposed the proposed National Economic Literacy Fund (NELFund), describing it as a burden that could saddle future generations with unsustainable debt.