The Nigerian Labour Congress (NLC) has called for dialogue with the Federal Government to address concerns about the Tax Reform Bill’s impact on workers nationwide.

NLC President Joe Ajaero made this known during the unveiling of a CNG bus donated to the union’s Southwest chapters in Ibadan.

Ajaero noted that the bill’s provision for zero taxation on incomes below ₦800,000 per annum needs clarification, as most workers earning ₦70,000 or more monthly would fall outside the exemption bracket. He highlighted that this discrepancy could leave no Nigerian worker exempt from tax obligations.

“There’s a need for collaboration with the government to address some of the grey areas in the bill. We need to talk so that we can explain where it hurts us,” Ajaero said.

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A tax professor at Lead City University, Ibadan, Godwin Oyedokun, also weighed in on the discussion. He emphasized the importance of tax reforms for societal development but cautioned against imposing taxes on those without the means to pay, terming it “taxing poverty.”

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Oyedokun noted that the new tax framework targets individuals with luxurious lifestyles and seeks to capture revenue from informal sectors and digital businesses. He urged the NLC to engage constructively with the government, stating that outright resistance might stem from self-interest.

CNG Bus Donation and State Collaboration

In a related event, Oyo State Governor, Engr. Seyi Makinde, unveiled the CNG buses donated by the Federal Government to the NLC. Represented by Deputy Governor Barrister Bayo Lawal, Makinde called for strengthened collaboration between the government and the union to address workers’ welfare and related challenges.

The NLC’s push for dialogue underscores the need for a balanced tax system that supports development while considering the economic realities of Nigerian workers.