Taiwo Oyedele, chairman of the Presidential Fiscal Policy and Tax Reforms Committee, says the implementation of Nigeria’s tax reform laws will proceed as scheduled on January 1, 2026.
Oyedele spoke after meeting with President Bola Tinubu ahead of the commencement of the new tax regime expected to take effect in January.
The committee, which paid a visit to the president on Friday in Lagos, included Zacch Adedeji, chairman of the Federal Inland Revenue Service (FIRS).
According to Oyedele, the planned rollout of the Nigerian Tax Act (NTA) and the Nigeria Tax Administration Act (NTAA) will not be suspended, noting that the reforms are designed to deliver broad-based benefits to citizens and businesses.
“Bottom 98 percent of workers will see either no PAYE taxes or lower taxes to be paid,” he said.
“Small businesses, 97 per cent of them, will be exempted from corporate income tax, VAT, withholding taxes, and large companies will see a drop in the taxes that they pay.
“The whole idea is to try and promote economic growth, inclusivity, as well as shared prosperity for our people, so we are actually excited about the progress we are making, and we are looking forward to January 1, 2026.”
The committee chairman also linked expected revenue growth to economic expansion rather than higher tax rates, stressing that improved compliance and fairness would drive long-term gains.
“We believe that over time you get revenue from growth when the economy is growing. People pay not because the tax rate has gone up, but because the base has increased,” Oyedele said.
“Number two is these reforms have rationalised a lot of wasteful incentives that are distortionary, which is, in itself, not helpful for the economy.
“And number three is we see, as a result of these transformative tax reforms, increasing awareness of tax culture and therefore improved compliance.
“So if people who were not paying before start paying, and they are not low-income earners, not only do you get more revenue, you get fairness for society.”
On Monday, Oyedele had urged Nigerians to await the outcome of legislative reviews following claims of discrepancies in the gazetted tax laws.
Earlier, the leadership of the Senate and the House of Representatives directed Kamoru Ogunlana, clerk to the National Assembly, to work with relevant agencies in the executive arm to ensure the tax laws are re-gazetted.
