RMAFC Challenges Tinubu’s Tax Reform Bills, Cites Constitutional Breaches

The Revenue Mobilisation, Allocation and Fiscal Commission (RMAFC) has rejected President Bola Tinubu’s proposed tax reform bills, alleging they violate constitutional provisions on revenue sharing.

In a detailed nine-page memorandum, RMAFC Chairman Mohammed Bello Shehu outlined legal and technical objections to the proposed legislations currently before the National Assembly.

The Commission maintained that its constitutional mandate under Section 162(2) grants it exclusive authority to determine revenue sharing formulas among government tiers. “The Constitution designates RMAFC as the final authority on matters of revenue allocation,” the memorandum stated.

RMAFC argued that any legislative attempt to override its constitutional responsibilities would directly infringe on its mandate and compromise national fiscal integrity.

The Commission proposed an alternative VAT allocation formula and urged dialogue among federal, state, and local governments to resolve disputes. It recommended implementing electronic invoicing to enhance transparency in tax collection.

RMAFC warned that the proposed tax reform bills could threaten national unity, emphasizing the need to respect constitutional principles of fairness and justice in revenue distribution.

The memo called on the federal government to empower RMAFC to finalize VAT allocation formulas, reinforcing its role as the primary arbiter of revenue sharing mechanisms.