The Nigeria Employers’ Consultative Association (NECA) has welcomed President Bola Tinubu’s signing of four major tax reform bills into law, hailing it as a landmark move to end over a decade of debilitating multiple taxation that has stifled businesses in Nigeria.
“The new tax reform law is a game-changer,” NECA Director-General Adewale-Smatt Oyerinde declared at the fourth Employers Summit in Abuja, noting it provides much-needed relief to the Organised Private Sector by streamlining taxes, levies, and fees nationwide.
NECA Director-General, Adewale-Smatt Oyerinde, described President Tinubu’s assent to four key tax reform bills as a major breakthrough, saying “Uhuru” – freedom from the long-standing burden of multiple taxes. The bills include the National Tax Policy, National Tax Administration, Nigeria Revenue Service, and Joint Tax Board Establishment Bills.
Earlier today, President Bola Tinubu signed four tax reform bills into law, aiming to transform Nigeria’s fiscal and revenue framework. The bills signed include:
– Nigeria Tax Bill (Ease of Doing Business): Consolidates fragmented tax laws into a harmonized statute, reducing multiple taxes and duplication, and enhancing the ease of doing business.
– Nigeria Tax Administration Bill: Establishes a uniform framework for tax administration across federal, state, and local governments, ensuring efficiency and transparency.
– Nigeria Revenue Service (Establishment) Bill: Repeals the Federal Inland Revenue Service Act, creating a more autonomous and performance-driven national revenue agency, the Nigeria Revenue Service (NRS), with an expanded mandate.
– Joint Revenue Board (Establishment) Bill: Provides a formal governance structure for cooperation between revenue authorities, introducing oversight mechanisms like the Tax Appeal Tribunal and Office of the Tax Ombudsman.
These laws are expected to:
– Increase revenue generation
– Improve the business environment
– Boost domestic and foreign investments
– Enhance transparency and accountability in tax administration
– Protect taxpayers’ rights
The new tax laws will take effect on January 1, 2026, giving the administration six months for planning, sensitization, and alignment with the fiscal calendar.
Oyerinde noted that while the signing is a significant milestone, effective implementation is crucial. “The real work begins now,” he said, adding that harmonized taxes, levies, and fees will bring relief to businesses.
The NECA boss highlighted that the issue wasn’t just about tax rates but also the inefficient collection methods that hindered business growth. He praised the Presidential Committee on Fiscal Policy and Tax Reforms for its consultative approach.
NECA President, Dr. Ifeanyi Okoye, echoed similar sentiments, emphasizing that the reforms must translate into practical benefits for Nigerian businesses. He urged the Federal Government to implement actionable outcomes from the summit.
The Employers’ Summit, themed “Enabling Sustainable Enterprise in a Transitioning Economy,” brought together stakeholders to discuss policy reforms and chart a path forward for Nigeria’s economic competitiveness.
