The House of Representatives has inaugurated an ad-hoc committee to investigate growing concerns over excessive tax deductions from the earnings of civil and public servants, as well as multiple and unclear bank charges imposed by commercial banks.
The committee, chaired by Hon. Kelechi Nwogu, a lawmaker representing Rivers State, was inaugurated in Abuja on Thursday by the Speaker of the House, Dr. Tajudeen Abbas.
The move comes amid mounting public outcry over unfair and unexplained deductions from salaries and bank accounts. Civil and public servants have repeatedly complained about multiple taxes, levies, and charges that continue to erode their already limited earnings. Many also allege that certain deductions — including pensions and housing contributions — are not properly remitted to the appropriate authorities.
Similarly, commercial banks have faced criticism for imposing numerous charges, such as stamp duty, Value Added Tax (VAT), card maintenance, and transfer fees — sometimes applied simultaneously on a single transaction.
In response, the House set up the Nwogu-led committee to probe these allegations and ensure transparency and fairness in financial dealings. The investigation will involve key agencies, including the Central Bank of Nigeria (CBN), the Federal Inland Revenue Service (FIRS), and major commercial banks.
READ ALSO: Fuel Tax Delayed Until Naira Strengthens — Oyedele
Speaking at the inauguration, Nwogu said the committee’s establishment marks a “pivotal step” in the National Assembly’s commitment to promoting justice, accountability, and equity in financial practices.
“It is with great honour and a profound sense of duty that I stand before you today as Chairman of this ad-hoc committee,” Nwogu stated. “We are responding to citizens’ concerns to ensure that financial practices in both the public and private sectors align with the principles of justice and equity.”
According to him, the committee will investigate the nature, legality, and application of all taxes, levies, and deductions affecting public workers, as well as potential cases of non-remittance of deducted funds. It will also scrutinise the various bank charges and VAT applications to determine their legality and fairness.
“We aim to identify irregularities, recommend reforms, and advocate for the rights of all Nigerians,” he added. “Our mission is to ensure that these deductions and charges are fair, transparent, and just, and we are prepared to make far-reaching recommendations, not minding whose ox is gored.”
He called for full cooperation from government agencies, banks, regulatory bodies, and civil society organisations, stressing that the committee’s work will go beyond exposing irregularities to proposing concrete, actionable solutions.
Earlier in his remarks, Speaker Tajudeen Abbas, represented by the Chief Whip, Hon. Bello Kumo, reaffirmed the 10th National Assembly’s resolve to protect Nigerians from exploitative financial practices.
Abbas said the committee’s formation underscores the legislature’s responsiveness to citizens’ complaints about arbitrary deductions from salaries and bank accounts by both government agencies and financial institutions.
“It is a privilege to inaugurate this committee dedicated to investigating tax deductions and excessive bank charges burdening Nigerians,” he said. “Public servants who work tirelessly for our nation should not bear the burden of unjust financial practices that reduce their hard-earned income.”
The Speaker expressed concern over the growing problem of multiple and unclear bank charges, warning that such practices undermine public trust and exacerbate existing economic hardship.
“The issue of multiple bank charges undermines confidence in our financial institutions and places an undue strain on citizens’ finances,” he said. “Demands for transparency and fairness in banking cannot be ignored; they require our urgent attention.”
He urged the committee members to conduct their assignment with integrity, objectivity, and full dedication to the Nigerian people.
“This committee must work diligently and engage stakeholders across all sectors to uncover the truth and provide actionable recommendations,” Abbas said. “Together, we have an opportunity to restore public confidence and strengthen financial justice in Nigeria.”