The Senate has begun a clause-by-clause consideration of four key tax reform bills submitted by the Chairman of the Senate Committee on Finance, Senator Sani Musa.

Presenting the report on Wednesday, Musa outlined the major recommendations of the committee, while the Chairman of the Special Committee on Tax Reform, Senator Yahaya Abdullahi, also addressed the chamber.

Following their submissions, the Senate President, Godswill Akpabio, signalled the upper chamber’s readiness to proceed with the legislative process.

“We are now ready to go with the tax bills, that, however, does not stop any senator from raising objections, expressing satisfaction with the legislative process so far.

“We are doing this for Nigeria. Some of these laws date back to before 1960,” Akpabio said.

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However, some of the clauses quickly became a subject of discontent when the Senate dissolved into the Committee of the Whole to consider each clause.

Clause 22 drew immediate attention. The clause proposed that “three percent of the total revenue collected by the service, which shall be appropriated by the NASS subject to the review of the percentage from time to time, depending on the economic situation or as the economic situation requires”.

Senator Aliyu Wadada, however, raised concerns, proposing an amendment to reduce the figure to two percent, citing the significant size of revenues involved, which he said was more than the combined budgets of 16 states.

He argued that such large sums required cautious handling, especially as they include both oil and non-oil revenue.

The amendment was adopted.

Clause 39 also sparked debate as Senator Adams Oshiomhole, supported by Senator Ibrahim Dankwambo, warned against excessive legislative involvement in operational financial approvals.

“Anything done should be overseen by the Senate, but this should not mean day-to-day interference. That would create bottlenecks and delay urgent financial decisions,” Oshiomhole said.

Senator Musa, however, defended the clause, underscoring that the intention was to strengthen the National Assembly’s oversight and ensure accountability in the use of public funds.

He clarified that the provision was not meant to hinder timely financial action but to prevent unauthorised disbursements.

Ultimately, the clause was retained.

President Bola Ahmed Tinubu had in October 2024 transmitted the four tax reform bills to the National Assembly for consideration and passage.