The Federal Government has expressed its willingness to make concessions on the contentious Value Added Tax (VAT) structure in the tax reform bills currently before the National Assembly.

This was disclosed by Taiwo Oyedele, Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, during an interview with Arise Television on Sunday.

Oyedele emphasized that the proposed VAT structure, based on the Derivative Principle, would benefit all parts of the country, contrary to some claims.

He noted that if the preference was for the current Attribution Principle, his team was willing to accommodate it.

Oyedele said what his committee proposed regarding Value Added Tax would benefit every part of the country.

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He, however, noted that if the preference was for the current state, then his team was willing to oblige.

“There were two comments that Mr President made. His first point is that we have to do tax reforms. We cannot continue with the laws of the colonial era and hope that Nigeria will become a developed country. This tax system is holding us back. Then after a few other questions, someone asked a question again about whether he was willing to move and make a compromise, and he said, ‘Yes’. So his point is that we have to carry out tax reform.

“That is what is non-negotiable. Otherwise, we will be missing out on a significant opportunity to move Nigeria forward. But in terms of the details of those bills, everything is up for grabs.

“I can tell you, as we speak today, if they want us to keep the current VAT formula, we’ll keep it 100 percent. So, the fact that people keep using the problem we are trying to solve against us is what I need to understand,” Oyedele said.