Musa Na Allah, Sokoto
The Academic Staff Union of Universities (ASUU) Sokoto Zonal Chapter has said that the planned Tax Reform Bill introduced by the federal government through the presidency is tantamount to abrogation of TETFund which supports tertiary education.
The Zonal Coordinator of ASUU Sokoto, Prof. Abubakar Sabo made the statement at a press conference on Wednesday held at the Nigeria Union of Journalists (NUJ Press Center, Zuru Road Sokoto.
He said the proposed Tax Reform Bill known as the Nigeria Tax Bill, 2024 is currently under scrutiny and deliberation at the National Assembly Abuja.
According to ASUU, “Section 59(3) of the aforementioned bill specifically stipulates that only 50% of the Development Levy would be allocated to TETFund in the years 2025 and 2026, with NITDA, NASENI, and NELFUND sharing the remaining percentages.”
“TETFund is scheduled to receive “66.7% in the years 2027, 2028, and 2029 of assessment”, but “0% in the year 2030 of assessment and thereafter,” ASUU stated
“It is clear that the tax bill proposes the abolition of the Education Tax, which consequently implies that the Education Tax, referred to as the Development Levy and utilized to finance TETFund’s initiatives, would be redirected to the recently established Nigerian Education Loan Fund (NELFUND).” Says ASUU.
“The profound consequence of this new taxation system is that starting from 2030, all proceeds generated from the Development Levy will be channeled to NELFUND.
“This development can be likened to sacrificing a parent to nurture a newborn child, an act that is not only unethical but also contrary to the principles of natural justice.” Stated ASUU leadership.
“It is crucial to acknowledge the unparalleled impact of TETFund on the premises of every higher education institution in Nigeria.
“ASUU Sokoto Zone views this development as not only disconcerting but also detrimental to our national development aspirations.
“This is due to the potential threat posed by the proposed tax system to the sustenance of TETFund. The zone further asserts that TETFund has been the cornerstone of infrastructural development, postgraduate training, and research capacity enhancement in Nigeria’s public tertiary institutions over the past fifteen (15) years.
According to ASUU, diverting any portion of Education Tax to serve another agency not stipulated in the TETFund Act of 2011 is unlawful and should not be condoned.”
“The zone also notes that allocating zero funds from the Development Levy to TETFund as of 2030 is a subtle means of dismantling the agency; the notion that TETFund should explore alternative means of revenue generation is fallacious and misguided because, as an entity established by an Act, the institution cannot survive without the funds.”
“It is imperative to recognize that TETFund’s impact on the campuses of every higher education institution in Nigeria is immeasurable; abolishing it would set back public tertiary education by several years and undermine the modest progress made in positioning Nigerian universities for global recognition and transformative development.
“It’s worthy to note that, the Ghana Education Trust Fund (GETFund) drew inspiration from the Nigerian experience, and representatives from other African countries have recently visited Nigeria to study the activities of TETFund.
“It is imperative for Nigeria to enhance the efficiency and sustainability of the agency rather than contemplating its emasculation or abolition.
‘ASUU Sokoto zone firmly believed that dismantling the TETFund Act of 2011, whether by design or oversight, would have dire consequences not only for education but for Nigeria as a whole.
“TETFund currently provides support to Two Hundred and Forty-Four (244) public tertiary institutions in Nigeria, comprising 96 Universities, 72 Polytechnics, and 76 Colleges of Education.
“The further breakdown of these institutions reveals that 49 are Federal Universities, 47 State Universities, 34 Federal Polytechnics, 38 State Polytechnics, 28 Federal Colleges of Education, and 48 State Colleges of Education, all of which benefit from the fund.
“It is also known facts that TETFund impacts not only tertiary-level education but also extends its influence to the secondary and primary levels; it, directly and indirectly, supports the training of competent educators and various categories of support staff across the entire educational system.
“Gentle Men of the Press, “we are all witness to the bread and butter treatment being given to other sectors of and their workforce.
“The questions are; what went wrong all of a sudden that the government decided to treat the university education and the academic staff with these levels of disdain?
“What reasons do the government have to be thinking of wiping out the only agency (TETFund) that, to some extent, projecting the little image left of public universities in Nigeria?
“ASUU Sokoto Zone has therefore taken a firm stand against the degradation or eradication of TETFund, which stands as a testament to our Union’s constructive interactions with Nigerian governments since 1992.
“ASUU Sokoto Zone implores the National Assembly, particularly the Senate President, the Speaker of the House of Representatives, and relevant committees of the National Assembly, to exert their utmost influence in safeguarding the TETFund from being abolished under the Nigeria Tax Bill 2024”.
