Senator Adams Oshiomhole, who represents Edo North in the National Assembly, has urged the federal government to enforce Nigeria’s tax laws more strictly, arguing that violations should attract severe punishment.
The former Edo State governor made the remarks during an interview on Channels Television’s Politics Today, where he described opposition to value added tax (VAT) as a uniquely Nigerian phenomenon driven largely by poor understanding of how taxation works.
“It is only in Nigeria that people talk about government using money or claim that government earns money on its own,” he said.
“Governments do not earn money; citizens earn income, and the government taxes those earnings — whether individual or corporate. The sum of these taxes determines the annual revenue of the state.”
Oshiomhole stressed that tax compliance should not be treated as optional, insisting that serious consequences must follow any breach of tax laws.
“Taxes must be paid by those who are supposed to pay it and must be ruthlessly collected. It’s not a civil obligation. It’s a criminal thing if you breach the tax law, and it has to send people to prison if they decline or doctor the tax books. That is what serious governments should do,” he said.
He further defended the country’s tax framework, describing it as progressive and designed to shield low-income earners.
“The facts on the ground show that President Tinubu’s tax policy is consistent with the values of a progressive government. This is a progressive tax policy that places a higher burden on those who earn more while offering tax exemptions to those who earn less.”
Addressing the ongoing debate around VAT, the senator explained that the tax largely applies to luxury and non-essential goods rather than basic necessities.
“When you and I choose to buy luxury or imported items, then we pay VAT. If you don’t consume luxury, you don’t pay VAT. That is why VAT is fair.
“Nigerians pay VAT in London, in America, in Dubai, sometimes up to 20 percent, and nobody complains. Why is it a problem when it is in Nigeria? Everywhere in the world, when you buy non-food items, you pay VAT. Nigerians pay VAT in America, London, Dubai, yet they resist paying VAT here in Nigeria.”
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