May Day: TUC demands immediate withdrawal of proposed Tax bill

May Day: TUC demands immediate withdrawal of proposed Tax bill

The Trade Union Congress (TUC) has called for the immediate withdrawal of a proposed tax bill by the Federal Government, describing it as “insensitive” and “anti-worker.”

Speaking during the 2025 May Day celebration in Abuja, the TUC President, Mr. Festus Osifo, strongly criticised the tax proposal, saying it unfairly burdens workers while leaving out the wealthy and corporate elites.

According to Osifo, “The tax proposals were drafted without the involvement of workers. They impose heavy burdens on our meagre allowances — housing, transport, and even medical benefits, yet fail to promote a progressive taxation system that ensures the rich pay their fair share.”

He particularly faulted the move to peg the minimum taxable income at N800,000 annually, a figure only slightly below the recently agreed National Minimum Wage of N840,000 per annum (equivalent to N70,000 monthly).

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“How can you tax someone earning approximately the cost of just eight bags of 50kg rice in a year? This policy shows insensitivity to the plight of Nigerian workers amid soaring inflation and economic hardship,” Osifo said.

The TUC President also raised concerns over proposed expansions to the Value Added Tax (VAT) system and new levies, warning that they would increase the cost of living and disproportionately affect the poor.

He further noted the negative implications for the informal sector, stating that small-scale traders and artisans would be heavily affected by presumptive taxation and high compliance costs.

“We demand the immediate withdrawal of the anti-worker tax bill. Nigeria needs a fair and inclusive tax system, one that exempts essential goods from VAT and provides real support to the informal sector,” he declared.

Beyond taxation, the TUC president used the platform to call for urgent electoral reforms, citing a “crisis of political legitimacy in Nigeria.”

“This is not a partisan issue, but a patriotic duty. Stakeholders, including workers, civil society groups, political actors, and youths, must come together to reshape our electoral system to ensure transparency, accountability, and genuine participation,” he said.

He concluded by stressing that credible elections are critical to building a just, equitable, and progressive society.

May Day: TUC demands immediate withdrawal of proposed Tax bill