The Federal Government has reaffirmed that the Nigerian Tax Act and the Nigerian Tax Administration Act will commence on January 1, 2026, despite concerns raised by the House of Representatives over alleged alterations to the gazetted versions of the laws.
Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Mr. Taiwo Oyedele, made this known on Friday while briefing journalists after a meeting with President Bola Ahmed Tinubu at the Presidential Villa, Abuja.
Oyedele said the government remains firmly committed to the implementation timeline, stressing that the sweeping tax reforms are designed to ease the tax burden on Nigerians, stimulate economic growth, and promote inclusivity across the economy.
His remarks come amid ongoing deliberations by the House of Representatives following allegations that some provisions in the gazetted tax reform laws differ from what lawmakers originally debated, harmonised, and passed.
According to Oyedele, four tax reform laws have been enacted under the Tinubu administration, with two already in force. He explained that the Nigerian Revenue Service Establishment Act and the Joint Revenue Service Establishment Act commenced on June 26, 2025, while the remaining two—the Nigerian Tax Act and the Nigerian Tax Administration Act—are scheduled to take effect from January 1, 2026.
He welcomed the engagement of the House Committee investigating the alleged alterations, assuring that the Federal Government is open to working with the National Assembly should any remedial action be required.
However, he maintained that the commencement of the two outstanding laws would proceed as planned.
“The plan to commence the new laws on January 1, 2026, will go ahead as scheduled because these reforms are designed to provide relief to the Nigerian people,” Oyedele said.
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He outlined the far-reaching impact of the reforms, noting that about 98 per cent of Nigerian workers would either pay no Pay-As-You-Earn (PAYE) tax or pay lower taxes under the new regime.
In addition, he said approximately 97 percent of small businesses would be exempt from corporate income tax, value-added tax (VAT), and withholding tax, while larger companies would also benefit from reduced tax liabilities.
Oyedele said the reforms are aimed at driving economic growth, fostering inclusivity, and ensuring shared prosperity, rather than imposing additional financial pressure on citizens and businesses.
He disclosed that the tax reform bills spent nine months at the National Assembly, from October 2024 to June 2025, allowing sufficient time for planning and preparation. Since the laws were signed, he said the government has devoted the past six months to capacity building, system upgrades, and extensive stakeholder sensitisation.
According to him, the early commencement of two of the laws was a deliberate strategy to enable newly created institutions to begin operations and adequately prepare ahead of the full rollout of the reforms in 2026.
Oyedele further emphasised that the reforms are not intended to raise immediate revenue through higher tax rates. Instead, he said the focus is on growing government revenue sustainably by expanding the economy, widening the tax base, and improving compliance.
He added that the reforms have eliminated wasteful and distortionary tax incentives, a move he said would enhance fairness, efficiency, and transparency within the tax system. Improved tax awareness and a stronger tax culture, he noted, are also expected to boost voluntary compliance over time.
The controversy surrounding the reforms was earlier stirred by a member of the House of Representatives, Hon. Abdulsammad Dasuki (PDP, Sokoto), who alleged discrepancies between the gazetted versions of the tax laws and those passed by the National Assembly.
Dasuki claimed that his review of the gazetted documents revealed material differences from the versions debated and approved by both chambers.
The allegations have triggered calls in some quarters for the suspension of the implementation of the tax laws.
Responding to the development, the House of Representatives Spokesman, Mr. Akin Rotimi, said on Friday that the Green Chamber has inaugurated a committee to “establish the sequence of events and identify any factors that may have contributed to the circumstances surrounding the legislative and administrative handling of the Acts.”
Despite the unfolding legislative scrutiny, the Federal Government has maintained that the January 1, 2026 commencement date for the Nigerian Tax Act and the Nigerian Tax Administration Act remains unchanged.