Nigeria implements major tax reforms to simplify levies, enhance transparency, and support business growth under a harmonised national framework

Nigeria’s tax system is undergoing one of its most significant transformations in decades, with Executive Secretary of the Joint Revenue Board, Mr Olusegun Adesokan, describing the reforms as a turning point for national fiscal governance.

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In his article, “A New Fiscal Dawn: How Nigeria’s Tax Reforms Are Laying the Foundation for National Renewal,” Adesokan explained that the changes are a comprehensive restructuring of tax governance, collection, and revenue sharing, aimed at resolving inefficiencies that have long hindered the system.

The reform programme, driven by President Bola Ahmed Tinubu, has already resulted in four key laws: the Nigeria Tax Act, Nigeria Tax Administration Act, Nigeria Revenue Service (Establishment) Act, and the Joint Revenue Board of Nigeria (Establishment) Act.

These laws create a unified legal and institutional framework to streamline the tax system.

“For the first time in a long while, we now have a coordinated framework that modernises our tax ecosystem and aligns it with global best practices,” Adesokan said.

The reforms aim not only to increase revenue but also to make taxation fairer, more transparent, and less burdensome for small businesses and low-income earners.

Adesokan emphasised that close to 60 different taxes, levies, and charges are being consolidated into just nine categories to improve clarity and predictability for taxpayers.

The Joint Revenue Board has also introduced a Model States Taxes and Levies Harmonisation Law to guide state governments in aligning with the national framework.

To date, twelve states have enacted versions of the law, with others consulting stakeholders and moving through legislative processes.

Adesokan highlighted that the reforms target unauthorised roadside collections, promote electronic payment channels, and standardise assessment and collection processes, reducing corruption and revenue leakages.

“When taxes are clear, fair, and predictable, investors are more confident. The cost of doing business reduces, and that supports economic growth,” he said, noting that public understanding of taxation is gradually improving.

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The reforms are designed to support enterprise, strengthen institutions, and provide a stable foundation for sustainable development across Nigeria.