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“Tax Reforms Explained: How Lagos Loses Out in VAT Redistribution — Oyedele”

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The Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, has highlighted Lagos State as the primary loser in the ongoing tax reform efforts.

Speaking during a live appearance on Arise TV, Oyedele discussed the tax reforms introduced by President Bola Tinubu, aimed at overhauling Nigeria’s tax system. According to Tribune Online, the President proposed four Tax Reform Bills in October 2024: the Nigeria Tax Bill 2024, the Tax Administration Bill, the Nigeria Revenue Service Establishment Bill, and the Joint Revenue Board Establishment Bill. These bills aim to consolidate existing tax laws, simplify tax administration, and boost revenue generation.

Despite these goals, the reforms have encountered strong resistance, particularly from stakeholders in Northern Nigeria.

Oyedele explained that the committee’s proposals on Value Added Tax (VAT) were designed to ensure equitable benefits across all regions. He pointed out a historical gap, noting that VAT was not explicitly addressed in the 1979 Constitution and remained unaddressed when the 1999 Constitution was enacted. States like Lagos and Rivers have since argued in court that VAT should be collected at the state level, claiming this approach would better reflect their contributions.

However, Oyedele cautioned that state-level VAT collection would lead to significant challenges for businesses, describing it as equivalent to a “100% derivation” model. He warned, “If we allow states to start collecting VAT in Nigeria, it will create chaos for businesses, as states are unlikely to respect input-output mechanisms.”

He further explained that Lagos stands to lose the most under the proposed reforms due to the current VAT remittance structure. Presently, most companies headquartered in Lagos remit their VAT there because their finance departments are centralised. Under the new reforms, VAT collection would be redistributed to address regional disparities, effectively reducing Lagos State’s revenue share despite its substantial contributions.

“Often, companies like MTN, BUA, Dangote, Airtel, and most banks, which are headquartered in Lagos, remit their VAT from their head offices. Similarly, many oil companies headquartered in Rivers State follow the same practice,” Oyedele added.

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Sanwo-Olu to Meet APC Stakeholders to Strategize Ahead of LG Polls

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Lagos State Governor, Mr. Babajide Olusola Sanwo-Olu, will tomorrow at noon host a stakeholders’ parley with leaders, elected and appointed officials, as well as chairmanship and councillorship candidates of the All Progressives Congress (APC) at the State House, Marina.

The high-level meeting is expected to serve as a strategic rallying point for party mobilisation ahead of the July 12 local government elections.

This follows the formal presentation of party flags to the 57 APC chairmanship candidates last week at the party’s state secretariat in Ogba — a colourful event attended by key figures in government and the party hierarchy. The ceremony marked the official commencement of campaigns and provided a morale boost to party faithful in anticipation of another electoral victory.

Lagos LG Polls a Strategic Step Toward Tinubu’s Re-election, Says Sanwo-Olu

The Lagos APC expresses deep appreciation for the trust and confidence reposed in the party by Lagosians, which has continued to drive the state’s unmatched progress across all sectors.

We remain confident that the outstanding achievements of our local councils — particularly in education, primary healthcare, housing, and grassroots social interventions — will be rewarded with widespread voter support at the polls.

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Lagos LG Polls a Strategic Step Toward Tinubu’s Re-election, Says Sanwo-Olu

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Lagos State Governor, Mr. Babajide Sanwo-Olu, has described the upcoming local government elections as a strategic platform to reaffirm support for President Bola Ahmed Tinubu and the All Progressives Congress (APC), ahead of the 2027 general elections.

Speaking at the commissioning of the newly constructed Ibeju-Lekki Local Government Secretariat, legislative building, a 400-metre paved road, and the groundbreaking of the Ibeju-Lekki Housing Scheme on Wednesday, Sanwo-Olu urged residents to use the council poll as a demonstration of political loyalty and solidarity with the president.

The local government elections in Lagos are scheduled to hold on July 12, 2025.

The governor emphasized that the various projects being commissioned would not only improve infrastructure but also drive economic growth and employment at the grassroots level.

“You know that everything we are doing fosters job creation and increases the internal revenue of the local government,” Sanwo-Olu said. “We believe this will promote structured rural development and enhance the dignity and well-being of our communities.”

Sanwo-Olu also reaffirmed his unwavering loyalty to President Tinubu, following a recent show of unity between the two leaders. In a message posted to his official handle on X (formerly Twitter) after seeing the president off to Abuja post-Eid celebrations, the governor wrote:

“I remain dedicated to supporting his efforts and policies, which aim to bring real and lasting change to the lives of Nigerians. Lagos stands ready to play its part in building the Nigeria we all hope for.”

Addressing supporters in Yoruba during the event, Sanwo-Olu added (translated into English):

“The local government election is near—just one month away. I urge you to show your strength and support through your votes. This will pave the way for a smooth and successful 2027 campaign for Mr. President.”

Also speaking at the event, Chairman of Ibeju-Lekki LG, Hon. Abdullahi Olowa, reflected on the progress made since his administration took office in 2021, shortly after the secretariat was destroyed during the EndSARS protests.

“We inherited the urgent task of rebuilding from scratch. Today, by the grace of God, we have not only restored but elevated the local government’s infrastructure to a modern, world-class standard,” Olowa stated.

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Agbado/Oke-Odo Chairmanship Row Sparks Tension Within Lagos APC

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The Lagos State chapter of the All Progressives Congress (APC) is grappling with internal discord following the party’s recent local government primary elections, with tensions particularly pronounced in the Agbado/Oke-Odo Local Council Development Area (LCDA).

A faction of APC leaders within the council has thrown its full support behind Abiodun Ejigbadero as the party’s chairmanship candidate. In a communiqué dated May 27, 2025, the group reaffirmed Ejigbadero’s candidacy, describing opposition to his emergence as the antics of a “disgruntled aspirant” pursuing personal interests at the party’s expense.

The communiqué, signed by Chairman E.O. Adedeji and Acting Secretary Shola Akande, stated:

“We, the leaders of the APC in Agbado/Oke-Odo LCDA, accept the emergence of Abiodun Ejigbadero as the party’s chairmanship candidate and pledge our unwavering support to ensure his victory in the upcoming election. We affirm and uphold the outcome of the primary election as the decision of our great party.”

The statement also called for unity, urging members to prioritize party cohesion and work collectively towards electoral success.

Lagos APC Stakeholders Reiterate Opposition to LCDA Chairmanship Nominee

However, a rival faction led by APC Apex Leader Olusegun Shodiya has strongly rejected Ejigbadero’s candidacy, alleging that he was imposed and had no prior involvement in party affairs. At a press conference held on Friday, Shodiya, accompanied by other party stakeholders including Olanrewaju Baruwa, Olamigoke Phillips, Funmilayo Ojelabi, and others, insisted that Ejigbadero did not win the primary and had never participated in APC activities within the LCDA.

“We have taken this principled position in the long-term interest of our party,” Shodiya said. “Accepting a candidate who lacks history or legitimacy within the APC structure would only undermine the integrity of our democratic process.”

The faction reiterated its support for the incumbent council chairman, Hon. David Famuyiwa, advocating for his re-election based on what they described as his “proven performance and loyalty to the party.”

The situation in Agbado/Oke-Odo mirrors similar post-primary unrest in other parts of Lagos, including Agege, Orile Agege, and Yaba, where several APC members have disputed the legitimacy of candidates produced through the party’s primaries.

In an interview with The Punch, APC spokesperson Seye Oladejo acknowledged the ongoing tensions and confirmed that reconciliation efforts were underway at both local and state levels.

“We’re working to resolve the disagreements and promote unity,” Oladejo said. “These kinds of disputes are not unusual in primaries. People often treat them as final elections, but we’ve always managed such issues before, and this will be no exception.”

Lagos LG Poll: Tension Mounts in Yaba APC Over Fresh Primary Demand

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