The federal government has commenced a fresh review of Nigeria’s tax laws and regulations, with the Technical Subcommittee on Fiscal Policy and Tax Reforms given six weeks to submit its recommendations.
The minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, inaugurated the subcommittee in Abuja on Thursday as part of efforts to address challenges that have emerged from the implementation of the country’s new tax laws.
The committee is expected to review submissions received from stakeholders, examine the Finance Bill 2027, revise the Withholding Tax Regulations and update the framework governing Significant Economic Presence.
Speaking, Oyedele said the latest exercise was not intended to rewrite the fundamental reforms enacted in 2025, but to identify areas where implementation had exposed ambiguities, unintended consequences and compliance challenges.
He said, “No serious reform ends with the enactment of legislation. Good reform is a process, not an event. The real test begins when the law meets the economy, as businesses interpret it, administrators implement it, investors respond to it, and citizens experience it.”
According to him, the Nigeria Tax Act 2025, Nigeria Tax Administration Act 2025, Nigeria Revenue Service (Establishment) Act 2025 and Joint Revenue Board (Establishment) Act 2025, which took full effect on January 1, represented the most comprehensive reform of Nigeria’s tax system in decades.
However, he said the Finance Bill 2027 should be used to improve the implementation of the reforms rather than reverse their fundamental principles.
“Our task is not to rewrite the 2025 reforms, but to preserve their fundamental principles while learning from implementation and responding to new economic realities,” Oyedele said.
Oyedele disclosed that the government had received 134 submissions from stakeholders across the country following its public Call for Inputs.
He said the submissions raised several recurring issues, including the need to clarify and simplify the new tax laws, particularly VAT thresholds, withholding tax and capital gains treatment.
Other issues included multiple taxation, coordination among revenue authorities, digitalisation and data-sharing, taxpayer rights, faster refunds and safeguards for small businesses.
Oyedele further charged members to ensure that proposed changes did not create unnecessary burdens for taxpayers or distort economic activity.
On withholding tax, the minister said the subcommittee was expected to review the Deduction of Tax at Source Regulations 2024 against the new tax laws and prepare revised Withholding Tax Regulations.
Members of the committee include representatives of the Federal Ministry of Finance, Ministry of Justice, Nigeria Revenue Service, Joint Revenue Board, Nigeria Customs Service, Manufacturers Association of Nigeria, Small and Medium Enterprises Development Agency of Nigeria, Association of National Accountants of Nigeria, Chartered Institute of Taxation of Nigeria, Institute of Chartered Accountants of Nigeria and Nigerian Economic Summit Group.
Others include representatives of the Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture, Nigerian Investment Promotion Commission, Budget Office of the Federation, Central Bank of Nigeria, Debt Management Office, Nigerian Bar Association and the Big Four accounting firms.
SOURCE: Leadership