The lifeblood of any modern economy is not just the revenue it generates but the trust its citizens place in the systems that govern them. When that trust is eroded by a vacuum of information, the consequences are swift, silent, and potentially devastating. Recently, a story emerged from the Nigerian diaspora that serves as a chilling cautionary tale for our economic stability. A female car dealer, an investor bringing hard-earned capital back to her homeland, almost became a casualty of the digital information war. Misled by a pseudo-tax consultant on TikTok, she was convinced that the new Nigeria Tax Act 2025 would see twenty per cent of every single bank transaction snatched away by the government.
Panic is a powerful motivator. In a matter of days, this entrepreneur began the frantic process of converting over two hundred million naira of business capital into dollars. Her plan was simple but tragic: shut down her operations, liquidate her assets, and move her investment to another African country where she felt her capital would be safe from “predatory” policies. It was only through a stroke of luck and the intervention of professional guidance that she was shown the reality of the law—that the new act actually offers significant exemptions for small and medium-sized businesses rather than the blanket theft she had been led to fear. While she rescinded her decision and is now actively advising her fellow diasporans to reconsider their exit plans, the near miss should send a shudder through the halls of power in Abuja.
This incident is a symptom of a much larger malady: the information gap. When the government fails to speak clearly and loudly to the public, the void is filled by the cacophony of social media “experts” and opportunistic alarmists. If that lady had left, the impact would have been multifaceted and deeply felt. Beyond the immediate loss of two hundred million naira in local circulation, there would have been a ripple effect of job losses for her staff, a dip in government revenue that she would have legitimately paid through other channels, and a significant stain on Nigeria’s reputation as a destination for foreign direct investment. Every time a member of the diaspora pulls out of the country due to a misunderstanding, it sends a signal to the rest of the world that Nigeria is a high-risk, unpredictable terrain. This is a price our fragile economy cannot afford to pay.
This incident proves that this is the time for the government to invest heavily in the orientation of the Nigerian tax-paying public. A law is only as good as the public’s understanding of it. If the Nigeria Tax Act 2025 is indeed designed to simplify compliance, eliminate the “2/3” restriction for manufacturers, and exempt small businesses with low turnover from corporate tax, then these benefits should be the loudest songs in the media. Instead, we have allowed the narrative to be hijacked by social media content creators who are not only unknowledgeable about the technicalities of taxation but are also often motivated by the “clout” of sensationalism. Taxation is a complex, technical field; leaving its explanation to the whims of influencers is a recipe for national economic sabotage.
This task is too monumental to be left in the hands of a single individual or a single agency. While the leadership of the revenue services may be competent, the scale of the challenge requires a multi-agency, “all-hands-on-deck” approach. It is not just about technical tax talk; it is about national orientation. We need the Ministry of Finance, the National Orientation Agency, the Ministry of Information, and the Nigerians in the Diaspora Commission to collaborate on a unified narrative. The message must be broken down into local languages, simplified into digestible social media content, and broadcast through every available channel to reach the market woman in Onitsha, the tech developer in Lagos, and the car dealer in the diaspora.
Proper communication builds the bridge that allows citizens to see taxes not as a burden, but as a contribution to the infrastructure and security they so desperately desire. If the government fails to invest heavily in this orientation today, it will spend much more tomorrow trying to repair the damage of a fleeing investor class and an alienated public. The story of the car dealer was a warning shot; let us hope the government hears it before more businesses choose to cross the border into the waiting arms of our neighbours.
Dr. Adeniyi Bamgboye, DBA, FCTI, FCA, FCCA, a dual qualified chartered accountant, tax expert, and policy analyst, is the managing partner of Empyrean Professional Services, an audit, business, and financial advisory firm dedicated to enhancing its clients’ business value. 08060603156; Adeniyi.bamgboye@empyrean.ng
