President Tinubu signs historic Tax Reform Bill into law to simplify Nigeria’s tax system, boost revenue, and attract investments. Learn about the key changes.
President Bola Ahmed Tinubu has officially signed the Tax Reform Bill into law, marking a significant shift in Nigeria’s fiscal policy framework. The newly enacted legislation, designed to streamline taxation systems and enhance revenue generation, received presidential assent during a ceremony at the State House in Abuja.
Presidential spokesperson Ajuri Ngelale confirmed the development, stating that the tax reforms align with the administration’s Renewed Hope Agenda to create a more business-friendly environment. The comprehensive bill introduces revised tax brackets, eliminates multiple taxation, and provides incentives for small and medium enterprises (SMEs) to stimulate economic growth.
Finance Minister Wale Edun described the legislation as “a game-changer for Nigeria’s economic transformation,” emphasizing its potential to increase tax compliance, attract foreign investment, and reduce the burden on low-income earners. The reforms specifically target loopholes in corporate taxation while introducing digital tax collection mechanisms to minimize revenue leakage.
Economic analysts have welcomed the move but caution about implementation challenges, particularly regarding enforcement across Nigeria’s 36 states. The new law establishes a National Tax Monitoring Committee to ensure uniform application and prevent exploitation by tax agencies.
Opposition lawmakers had previously expressed concerns about potential inflationary effects, though the Presidency maintains that the long-term benefits will outweigh transitional difficulties. The bill’s signing follows months of stakeholder engagements with organized labour, manufacturers’ associations, and state governors.
