Despite growing backlash and allegations that the tax reform bills signed by President Bola Tinubu differ from those passed by the National Assembly, the Federal Government has insisted that the new tax laws will take effect on January 1, 2026.
The Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, made this known on Friday in Lagos following a closed-door meeting with President Tinubu. Also present at the meeting were the Chairman of the Federal Inland Revenue Service (FIRS), Zacchaeus Adedeji, and the Chairman of the National Tax Policy Implementation Committee, Joseph Tegbe.
Oyedele said the January 1 commencement date remains “non-negotiable,” describing the reforms as people-focused measures designed to ease the tax burden on workers and businesses.
“The plan to commence the new laws on January 1, 2026, will go ahead as scheduled,” Oyedele told journalists.
According to him, about 98 percent of Nigerian workers will pay little or no Pay-As-You-Earn (PAYE) tax, while 97 percent of small businesses will be exempt from Corporate Income Tax, Value Added Tax (VAT), and Withholding Tax. He added that larger companies would also benefit from reduced tax obligations.
President Tinubu signed four tax reform bills into law on June 26, 2025, describing the move as the most comprehensive overhaul of Nigeria’s tax system in decades. One of the key provisions of the reforms is the establishment of a single revenue authority to be known as the Nigeria Revenue Service.
However, the reforms have sparked intense controversy. Lawmakers have accused the executive arm of altering the bills after they were passed by the National Assembly.
Earlier in December, a member of the House of Representatives, Abdussamad Dasuki, alleged that the versions of the laws available to the public were not the same as those debated and approved by lawmakers.
“Our legislative rights have been breached,” Dasuki said. “What the President signed is not what we passed. Even lawmakers do not have certified copies of what was transmitted.”
He further accused the Clerk of the National Assembly of failing to produce the harmonised and certified versions of the bills, fuelling suspicions of post-passage alterations.
The tax reforms had earlier faced resistance from northern lawmakers, including members of the ruling All Progressives Congress (APC), who warned that the changes could widen regional economic inequality and concentrate excessive revenue powers in the Presidency.
Civil society organisations and business groups have also raised concerns about the speed of implementation, warning that the reforms could create compliance challenges. Banks are reportedly preparing to enforce new requirements mandating Tax Identification Numbers (TINs) for all taxable Nigerians before account access.
Opposition politicians have described the January 1 deadline as “arbitrary and reckless,” accusing the Tinubu administration of pushing through a multi-trillion-naira tax overhaul without sufficient transparency or stakeholder engagement.
Despite the criticisms, the Federal Government has dismissed the allegations as politically motivated. Oyedele reiterated that there would be “no going back,” while stating that the government remains open to engaging the National Assembly to address outstanding concerns.
Analysts say the controversy suggests growing tension between the executive and legislature, warning that any attempt by parliament to halt implementation could trigger a constitutional standoff in the new year.
Unless suspended by legislative action, the new tax laws are scheduled to take effect at midnight on January 1, 2026.
