So far, the outlook in that regard is bleak as both the executive and its collaborators, the national lawmakers continue to deepen their hands in loans as a normal, using as excuses the need to develop infrastructure but with little consideration for its future repercussions. And to make matters worse, the same government is thinking of raising taxes from the same citizens who are practically struggling to stay afloat of dwindling income and high inflation, among other negative economic indices.
While this position may appear desirable at face value, a number of loopholes appear imminent in the plan. It appears not to give sufficient hope for a positive turnaround of the country’s economic circumstances. Over the past six years of the Muhammadu Buhari administration, what the public has been beguiled with are lots of government pronouncements that end up as mere empty statements.
Tax increases in many countries are usually carried out with a lot of caution and the Buhari administration should not aim to bite more than it can chew. For example, the ongoing debates over who collects Value Added Tax between the federal or state governments are still in the public domain are yet to be resolved, awaiting a resolution by the Supreme Court. Issues that border on taxation are usually contentious all over the world.