Rita Odafe
PENGASSAN Opposes Tax Reform Bills
The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has expressed strong opposition to the tax reform proposals put forward by President Bola Tinubu.
The association warns that these bills could hinder exploration activities in the oil and gas industry.
They also cautioned that the Nigeria Upstream Regulatory Commission (NUPRC) and the Nigeria Mid and Downstream Petroleum Regulatory Authority (NMDPRA) are likely to suffer if the reforms are approved.
Concerns About Legislative Process
There has been increasing concern regarding the tax reform bills currently being debated in the National Assembly. Notably, opposition has surfaced from the northern regions and some members of the Nigerian Governors Forum, while the presidency advocates for the bills, citing their potential benefits.
PENGASSAN also urged the government to broaden tax relief exemptions for employees in the oil and gas industry.
As discussions around the bills progress in the National Assembly, PENGASSAN has called on lawmakers to avoid rushing the passage of these reforms without thorough public consultations and amendments where needed.
Official Statement from PENGASSAN
During a meeting in Abuja with members of the National Executive Council (NEC), PENGASSAN President Festus Osifo addressed the issue, stating, “The Association recognizes the ongoing tax reforms and requests an expansion of tax relief exemptions for those at the minimum wage level and businesses, aiming to include more people and enterprises.”
“We need clarity on the revenue collection framework from oil and gas firms, as some provisions in the bills could adversely impact our members, particularly at the NUPRC and NMDPRA.”
“We are committed to participating in the public hearings to articulate our position effectively.”
“We urge the National Assembly to ensure a comprehensive public hearing process that will consider diverse perspectives to refine the bill’s provisions significantly.”
