The Federal Government has reaffirmed that there will be no reversal or delay in the implementation of Nigeria’s new tax reform laws, which are scheduled to take effect on January 1, 2026.
Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, made this known after meeting with President Bola Tinubu in Lagos to brief him on the progress of the reforms. He said four tax related laws were signed as part of the reform programme.
According to Oyedele, two of the laws, the Nigeria Revenue Service Establishment Act and the Joint Revenue Board of Nigeria Establishment Act, have been in force since June 26, 2025. The remaining two, the Nigeria Tax Act and the Nigeria Tax Administration Act, will take effect as scheduled on January 1, 2026.
He said the Federal Government welcomes the National Assembly’s review of the gazetting process and is ready to work with the legislature if any action becomes necessary, but stressed that the reform timeline remains unchanged.
Oyedele explained that the reforms are aimed at reducing the tax burden on Nigerians and supporting economic growth, not generating immediate revenue. He noted that about 98 per cent of workers would either pay no personal income tax or pay less, while 97 per cent of small businesses would be exempt from corporate income tax and VAT withholding tax.
He added that large businesses would also benefit from lower effective tax rates, saying the reforms are designed to promote inclusivity, shared prosperity, and better tax compliance.
Preparations for the reforms began in October 2024, when the bills were submitted to the National Assembly, and have continued through system upgrades, capacity building, and stakeholder engagement since the laws were signed in June 2025.
The National Assembly has directed the regazetting of the tax laws to ensure clarity and accuracy of legislative records, describing the exercise as purely administrative and not affecting the validity of the Acts.
