FG, ASUU to Hold Talks Over Removal of Education Tax

The Academic Staff Union of Universities (ASUU) has strongly opposed the Federal Government’s proposed removal of the education tax, calling it a threat to the survival of Nigerian universities.

In an interview with The PUNCH, ASUU National President Prof. Victor Osodeke revealed that the union would meet with the two Ministers of Education, Tunji Alausa and Suwaiba Ahmad, later this year to discuss the issue and other critical challenges facing the education sector.

Osodeke also confirmed that ASUU had written to the Senate President, the Presidency, and other key stakeholders, warning that the proposed changes to the Tertiary Education Trust Fund and the implementation of the tax reform bill would undermine tertiary education. He emphasized, “The plan to eliminate the education tax should not stand.”

Under Section 59(3) of the bill, only 50% of the development levy would go to TETFund, with agencies like NITDA, NASENI, and NELFUND receiving the remaining portions.

 By 2030, TETFund would receive 0% of the levy, significantly reducing its capacity to fund infrastructural development, postgraduate training, and research in public tertiary institutions.

ASUU has labelled the move illegal and vowed to resist any attempt to divert funds from TETFund to other agencies not recognised by the Act establishing the Fund in 2011.

In addition to the tax reform concerns, ASUU accused the government of failing to remove university academics from the controversial Integrated Personnel and Payroll Information System. The union has long argued that IPPIS does not suit the unique needs of the academic environment.

Osodeke said the meeting with the education ministers, though not yet scheduled, would focus on resolving challenges affecting the education sector.

For over 25 years, TETFund has been a critical source of funding for Nigerian public tertiary institutions, supporting infrastructural development, postgraduate training, and research capacity building.

ASUU maintains that any reduction in TETFund’s resources would undermine the progress made so far in the education sector.

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