New Tax Act: NRS assumes control of mineral royalty collection

The Nigeria Revenue Service has taken over the collection of mineral royalties from operators in the nation’s mining sector, in line with provisions of the new tax laws.

The development followed a meeting between the Minister of Solid Minerals Development, Dele Alake, and the Chairman of the NRS, Zacch Adedeji, in Abuja, where both parties agreed on modalities for collaboration.

A statement issued by the Special Adviser to the NRS chairman, Dare Adekanmbi, disclosed that the transition took effect from January 1, 2026, as contained in a joint statement endorsed by both officials.

According to the statement, the move is backed by recently enacted tax laws signed by President Bola Tinubu on June 26, 2025, which mandate the NRS to oversee the administration of all federally collectible revenues.

It noted that while the NRS now handles royalty collection, the Ministry of Solid Minerals Development would continue to play a technical role by providing mineral pricing data, geological insights, and industry coordination.

Both institutions, it added, have agreed to maintain close collaboration to ensure seamless implementation of the new framework and adequate sensitisation of mining operators.

The statement further revealed plans for a nationwide awareness campaign to guide stakeholders on compliance procedures, particularly on royalty filing and payments under the revised regime.

It also highlighted the introduction of a comprehensive digital system to manage royalty administration, alongside regular joint technical sessions to address operational challenges.

The ministry and the NRS assured stakeholders of their commitment to a transparent and efficient process, urging operators to comply with the new requirements and participate in the planned sensitisation programmes.

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