The country’s most recognisable tax institutions, the Federal Inland Revenue Service (FIRS) and the Joint Tax Board (JTB), are being replaced with broader agencies designed to modernise revenue collection and improve coordination across all levels of government.
At the JTB’s 158th meeting in Abuja on December 10, 2025, Chairman Zacch Adedeji said the transition marks more than a name change. “The new brand identity represents renewal, transformation, and our collective commitment to excellence in revenue administration. It reflects what the JRB stands for and will guide our activities and operations in the emerging dispensation,” he said.
The reforms are anchored on two new laws: the Nigeria Revenue Service (Establishment) Act, No. 4, 2025, and the Joint Revenue Board (Establishment) Act, 2025. The first repeals the 2007 FIRS Act and establishes the Nigeria Revenue Service (NRS) as a strengthened authority with expanded powers.
Beyond inheriting the functions of the former FIRS, the NRS is now responsible for the assessment, collection, recovery, accounting, and remittance of both tax and non-tax revenues, with broader enforcement tools and a clearer mandate for collaboration with states and local governments.
According to Akinwale Olarinde, a deputy manager at FIRS in a LinkedIn post, the Act positions the NRS to “perform functions necessary for effective tax administration, compliance enforcement, and digital transformation of revenue processes.” This includes deeper integration of taxpayer data, unified registration systems, and harmonised digital platforms that reduce duplication across the three tiers of government.
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Complementing this, the Joint Revenue Board Act replaces the long-standing JTB with the Joint Revenue Board (JRB), now backed by explicit statutory powers. While the JTB functioned largely as a coordinating forum, the new JRB holds a wider mandate: driving harmonisation of tax administration across the federation, supervising data standards, and helping resolve inter-governmental revenue disputes.
These shifts come as Nigeria struggles with a fragmented revenue system. Despite modest gains in Internally Generated Revenue (IGR), the system is weighed down by overlapping taxes, inconsistent interpretations of tax laws, and poor data coordination.
Data from the National Bureau of Statistics show that Nigeria’s 36 states and the FCT generated N3.63 trillion in IGR in 2024, with Lagos alone accounting for over one-third. Between 2021 and 2024, cumulative state-level IGR totalled N10.88 trillion, highlighting both revenue potential and persistent structural gaps.
Adedeji explained that the restructuring is intended to deepen collaboration across federal and state revenue authorities, enhance information sharing, and strengthen tax compliance across the country.
The Executive Secretary of the Board, Olusegun Adesokan, added that the JRB is designed to usher in a more coordinated revenue environment. “With the transition, the JRB will create a revenue-friendly environment that works for everyone,” he told participants at the Abuja meeting.
One of the Board’s priorities is the rollout of a unified national taxpayer database under the Tax ID Project. Adesokan explained that the JRB is already working with state revenue authorities to harmonise taxpayer records using foundational identifiers such as the National Identification Number (NIN) and company registration numbers. The goal is to ensure that every individual and corporate taxpayer is traceable across federal, state, and local revenue systems, reducing evasion, duplication, and conflicting assessments.
The combined reforms place Nigeria on a path toward a more integrated revenue framework, one where federal and state systems operate on compatible digital platforms and share real-time information. For businesses and individuals, the expected impact may include clearer tax obligations, fewer overlapping levies, and improved dispute resolution mechanisms.
While implementation will determine the eventual success of the reforms, tax administrators say the transition represents one of the most significant structural changes in Nigeria’s revenue landscape in nearly two decades. The coming months will test whether the new NRS and JRB can deliver the harmonisation, transparency, and efficiency that policymakers have promised.
