The House of Representatives has set up an ad-hoc committee to investigate alleged excessive tax deductions from the earnings of civil and public servants, as well as multiple and unclear charges imposed on customers by commercial banks in Nigeria.
The committee, chaired by Hon. Kelechi Nwogu from Rivers State, was inaugurated on Thursday in Abuja by Speaker of the House, Dr. Tajudeen Abbas.
The move follows widespread complaints from Nigerians over recurring, unexplained deductions from salaries and bank accounts. Many civil servants have lamented the burden of overlapping taxes and levies imposed by federal, state, and local government agencies—often resulting in double taxation and weak accountability.
Commercial banks have also faced criticism for imposing numerous service charges, including stamp duties, Value Added Tax (VAT), card maintenance, and transfer fees, sometimes applied simultaneously on a single transaction.
Speaking at the inauguration, Nwogu said the probe was initiated in response to mounting public frustration over arbitrary deductions by government agencies and financial institutions.
“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 said. “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.”
He noted that the committee would investigate the legality, application, and remittance of taxes, levies, and deductions affecting workers, while also scrutinising the fairness and transparency of bank charges.
According to Nwogu, the goal is to identify irregularities, recommend necessary reforms, and protect the financial rights of Nigerians.
“Our mission is to ensure that these deductions and charges are fair, transparent, and just. We will make far-reaching recommendations, not minding whose ox is gored,” he said.
He further urged all relevant stakeholders—including government agencies, financial regulators, and banks—to cooperate fully with the investigation, promising that the committee’s work would lead to meaningful policy reforms that strengthen public confidence in Nigeria’s financial systems.
Speaker Abbas, represented at the event by the Chief Whip, Hon. Bello Kumo, reaffirmed the National Assembly’s commitment to protecting Nigerians from exploitative financial practices.
He said the committee’s establishment reflects the legislature’s responsiveness to citizens’ complaints over arbitrary deductions by both government agencies and banks.
“It is a privilege to inaugurate this committee dedicated to investigating tax deductions and excessive bank charges burdening Nigerians,” Abbas 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 also decried the growing trend of multiple and unclear bank charges, noting that such practices undermine public trust and worsen economic hardship.
“The issue of multiple bank charges erodes confidence in our financial institutions and places an undue strain on citizens’ finances. Demands for transparency and fairness in banking cannot be ignored—they require our urgent attention,” he added.
Abbas urged members of the committee to conduct the probe with integrity and objectivity, engaging stakeholders across relevant sectors to ensure a thorough, transparent, and solution-driven process.
“This committee must work diligently and provide actionable recommendations that can restore public confidence and strengthen financial justice in Nigeria,” he said.