The Revenue Mobilisation And Fiscal Commission says Nigeria will begin the implementation of a new revenue-sharing formula in the first quarter of 2024.
The Chairman of the Commission, Mr. Muhammed Bello Shehu, gave the indication on Wednesday when he appeared before the House of Committee on Finance, in Abuja.
He said that he had briefed President Bola Tinubu about the expected changes.
The Chairman also noted that when approved, it will pass through the National Assembly for legislative action before its implementation.
” And I will assure this committee members that sometime next year, the commission will forward a new revenue allocation formula, first quarter to Mr president and we believe that he will forward it to the National Assembly for you to do your job on this issue.
“That I can assure you sir and the members too,” Shehu said.
Shehu also revealed that between 3 to 6 Trillion naira is being owed to the federal government by some agencies.
In his response, the Chairman of the House Committee on Finance, Hon James Faleke, said that he hopes the implementation comes quickly as “Where the federal government is having the lion’s share of revenue is not right.
“That’s why everybody is saying government, we have no money, no food, no this and that.
“As if it is the responsibility of the federal government to provide food.
“The federal government is just to create an enabling environment and good policies.
“If our local government system works well, we shouldn’t be having these impacts at all.
“I’m a product of local government and I know what I’m talking about.
“If our local government system works well, you don’t even know if the federal government exists or not. I’m sure we need to go back to that system,” Faleke said.
He also encouraged the chairman of the commission to bring the act setting up the Commission for amendment following an appeal by the chairman.
” The present act does not give them the power, there’s no biting teeth and that’s why most agencies flaunt remittances.
“And so, I think you need to look into the act. We can look at it and amend it from our side.
“But we need to be aware that that the act needs to be amended to make it more effective for better revenue for this country”. Faleke said.
The committee also played host to the minister of finance, the Fiscal Responsibility Commission and others.
(vitalnewsngr.com)