Among others, the tax reform bills (now laws) included renaming the Federal Inland Revenue Service (FIRS) as Nigeria Revenue Service (NRS).

At the event in Abuja, the President described the sweeping new legislations as pivotal to the success of the administration’s reforms and the country’s prosperity.

READ MORE HERE about the Tax Reform Bills provisions.

The Nigeria Employers Consultative Association (NECA) expressed support for the new tax legislations.

However, at the signing ceremony held in his office at the State House, Tinubu said the occasion presented a new lease of life to every Nigerian and future generations.

“What we did a few minutes ago is the way forward for our country’s prosperity. Leadership must help people take off, lead the way, and navigate every turn and twist. We must help them reach their destination. That is what we are doing.

“We are in transit; we have changed the roads, we have changed some of the misgivings, we have opened the doors to a new economy, business opportunities. We have shown the world that Nigeria is ready and open for business,” the President stated.

Mr. Taiwo Oyedele, Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, extolled the President’s leadership in enabling the passage of the four bills.

He thanked the President for all the support, without necessarily teleguiding the committee, and only asked necessary questions.

“History will remember you for good for transforming our country because you went for a fundamental reform,” he added.

The new tax laws were also targeted at removing duplication, boosting investor confidence, and making the system fairer and more transparent.

The signing ceremony, which took place on Thursday at the Presidential Villa in Abuja, marked what the President described as a “bold and foundational shift” in Nigeria’s fiscal policy direction.

The four bills signed into law include the Nigeria Tax Bill (Fair Taxation), Nigeria Tax Administration Bill, Nigeria Revenue Service (Establishment) Bill and the Joint Revenue Board (Establishment) Bill.

With the Bills signed into law, the Federal Government will commence the process of transmuting the Federal Inland Revenue Service (FIRS) to the Nigeria Revenue Service (NRS). READ MORE HERE.

The four bills, the Nigeria Tax Bill, the Nigeria Tax Administration Bill, the Nigeria Revenue Service (Establishment) Bill, and the Joint Revenue Board (Establishment) Bill, were passed by the National Assembly after extensive consultations with various interest groups and stakeholders.

According to Statehouse press release signed by Bayo Onanuga, special adviser to the President on Information and Strategy, when the new tax laws become operational, they are expected to significantly transform tax administration in the country, leading to increased revenue generation, improved business environment, and a boost in domestic and foreign investments.

The historic presidential assent to the bills at the Presidential Villa, Abuja, will be witnessed by the Senate President, Speaker of the House of Representatives, Senate Majority Leader, House Majority Leader, chairman of the Senate Committee on Finance, and his House counterpart.

The Chairman of the Governors Forum, the Chairman of the Progressives Governors Forum, the Minister of Finance and Coordination Minister of the Economy, and the Attorney General of the Federation will also attend the ceremony.

Here are the four Tax Bills to be signed into:

1. Nigeria Tax Bill (Ease of Doing Business)

One of the four tax reform bills is the Nigeria Tax Bill (Ease of Doing Business), which aims to consolidate Nigeria’s fragmented tax laws into a harmonised statute.

By reducing the multiplicity of taxes and eliminating duplication, the bill will enhance the ease of doing business, reduce taxpayer compliance burdens, and create a more predictable fiscal environment.

2. Nigeria Tax Administration Bill

The second among the tax reform bills , the Nigeria Tax Administration Bill, will establish a uniform legal and operational framework for tax administration across federal, state, and local governments.

3. Nigeria Revenue Service (Establishment) Bill

The Nigeria Revenue Service (Establishment) Bill, the third bill, repeals the current Federal Inland Revenue Service Act and creates a more autonomous and performance-driven national revenue agency— the Nigeria Revenue Service (NRS). It defines the NRS’s expanded mandate, including non-tax revenue collection, and lays out transparency, accountability, and efficiency mechanisms.

4. Joint Revenue Board (Establishment) Bill

The fourth bill is the Joint Revenue Board (Establishment) Bill. It provides for a formal governance structure to facilitate cooperation between revenue authorities at all levels of government.

It introduces essential oversight mechanisms, including establishing a Tax Appeal Tribunal and an Office of the Tax Ombudsman.

Samuel Agbeluyi, president of the Institute, stated at a one-day media workshop for tax and finance correspondents held in Lagos, while urging the government to ensure the effective use of taxpayers’ money for the benefit of the masses.

The tax reform bills before the National Assembly NASS have been generating nationwide debate with stakeholders pitching for and against them.

The four tax reform bills, which were transmitted to the National Assembly by President Bola Tinubu on October 3, 2024, have passed through a second reading despite protests.

Agbeluyi said,

“the institute is closely monitoring and contributing its quota to current activities of the current government as it relates to taxation and fiscal policy modifications.

“It is not in doubt that since its inauguration in May 2023, the current Nigerian government has demonstrated the political will and a strong commitment to overhauling the nation’s tax system, to reduce dependency on oil revenues and promote fiscal stability.”

Agbeluyi commended the work of the Presidential Fiscal Policy and Tax Reforms Committee, which has produced the Economic Stabilisation Bills currently under review by the National Assembly.

He urged “for constructive engagement to ensure they address systemic challenges while fostering a conducive environment for business growth.”

He also emphasised the critical role of the media in driving informed public discourse on tax reforms and fiscal policies.

Speaking at the workshop, Agbeluyi commended journalists for their partnership in advancing public awareness of Nigeria’s tax system, saying that the importance of equipping media practitioners with the tools and knowledge needed to report tax issues professionally and accurately.

Chairman of the Branding, Publicity, and Publications Committee, CITN, Prof. Godwin Oyedokun acknowledged the vital role of the media in shaping public opinion and influencing tax policies.

According to him, this workshop serves as a platform for knowledge sharing, capacity building, and fostering a deeper understanding of taxation. We believe that informed reporting on tax matters is key to driving public awareness and accountability.

The workshop featured sessions on essential topics such as ‘Basic Taxation Terminologies’ by Dr. Ismaila Olotu; ‘Tax Administration and Practice for Beginners’ by Olumide Esan; and ‘Tax Reporting for Media Practitioners’ by Chukwuemeka Eze.

The CITN reaffirmed its commitment to supporting media practitioners and fostering partnerships that advance public understanding of taxation as a critical driver of national development.

Senator Barau Jibrin, the deputy president of the Senate announced this during plenary on Wednesday.

Barau who presided over the session said there were controversies over the bills, adding that the committee was saddled with the responsibility of consulting with the Attorney General of the Federation (AGF), the executive arm and other critical stakeholders.

President Bola Ahmed Tinubu had on October 3, 2024, transmitted to the National Assembly, four tax reform bills, in a letter, read by the Senate President Godswill Akpabio, and Speaker of the House of Representatives, Tajuddeen Abbas, during separate plenaries of the two chambers.

Tinubu said the bills would bolster Nigeria’s fiscal institutions, adding that they were in line with his government’s broader development objectives for the country.

But Nigerians including governors, traditional rulers, civil society organisations, some federal lawmakers and others have kicked against the bills.

Barau also named Senators Titus Zam (Benue North West), Orjir Uzor Kalu (Abia North), Sani Musa (Niger East), Abdullahi Yahaha (Kebbi North) among others as members of the committee.

In a statement issued by Mr. Bayo Onanuga, special adviser to the President on Information and Strategy, the presidency said no provision in the bills would impoverish the northern states or make the southern states, like Lagos and Rivers, more affluent.

Rather, it stated that the bills were out to better the lives of disadvantaged Nigerians struggling to earn a living.

The presidency, in the statement, stressed that the bills never made provision for the scrapping of some parastatals and agencies, like Tertiary Education Trust Fund (TETFUND), National Agency for Science and Engineering Infrastructure (NASENI), and National Information Technology Development Agency (NITDA), as being speculated in some quarters.

The release added that while President Bola Tinubu welcomed the public debate being generated by the bills, he advised leaders across the country, including governors, traditional rulers, students, and activists, among others, to use the opportunity of the public hearing to be organised by the National Assembly to ventilate their views on how to reform Nigeria’s tax and fiscal regimes.

The presidency stated, “Since the public debate around the transformative tax bills before the National Assembly began in the last few weeks, various political actors and commentators have tried to obfuscate the facts, deliberately misinforming and misleading the public.

“Unfortunately, most reactions are not grounded in facts, reality, or sufficient knowledge of the bills. While some commentators have attempted to incite the people against lawmakers, others have polarized one section of the country against another.

“The tax reform bills will not make Lagos or Rivers more affluent and other parts of the country, as recklessly canvassed, poorer. The bills will not destroy the economy of any section of the country. Instead, they aim to enhance the quality of life for Nigerians, especially the disadvantaged, who are trying to make a living.”

It explained, “Contrary to the lies being peddled, the bills do not suggest that NASENI, TETFUND, and NITDA will cease to exist in 2029 after the passage of the bills

“Government agencies, such as NASENI, TETFUND, and NITDA, are funded through budgetary provisions with company income tax and other taxes paid by the same businesses that are being overburdened with the special taxes.”

The statement said, “One reason President Bola Tinubu embarked on the Tax and Fiscal Policy Reforms is the need to streamline tax administration in Nigeria and make the operating environment conducive for businesses.

“For decades, businesses, investors, and private sector players in Nigeria have complained of being overburdened by a myriad of taxes and levies, including those earmarked to fund various government agencies and initiatives.

“The multiple taxes complicate the economic environment, making Nigeria uncompetitive for investment and preventing many businesses from growing or continuing their operations. Some companies have had to make the rational decision to relocate to other countries. We cannot continue on this path or wait for 20 years if this country is to deliver the prosperity we need for our people.

“The proposal, as contained in section 59(3) of the Nigeria Tax Bill, only seeks to consolidate some of the earmarked taxes imposed on companies and replace them with a single tax to be shared with the key agencies as beneficiaries in a phased manner until 2030.

“The time frame offers ample opportunity for the affected agencies to explore other funding sources in addition to budgetary allocations in line with the constitution and international best practices.

“It is a misrepresentation of facts to conclude that changing an agency’s funding source amounts to scrapping it. None of the countries leading globally in education, science, engineering, or information technology have similar earmarked taxes.

The released stressed, “The government imposes major taxes, be it income tax, consumption tax, or other taxes, to channel resources to its areas of priority at the time. Imposing a separate tax to fund an agency is an aberration that has yet to yield results despite the huge burden on businesses. The tax bill seeks to address this problem.

“Relevant stakeholders and public analysts owe it a duty to properly educate themselves about the bills’ contents and avoid misleading the public for any reason. We may be entitled to our opinions, but such views must be informed and based on facts, not emotions targeted at inflaming passions.

“In a period like this, when our people across the country look up to leaders for guidance and direction on matters of public importance, such as the Tax Reform Bills, leaders should be more measured in their public utterances to avoid heating the polity and polarising the country unduly.” The presidency stated, “President Tinubu welcomes the public interest these bills have generated. He encourages leaders across the country, including Governors, Traditional rulers, Civil Society Activists, Students, trade associations, professional associations, and the general public, to take advantage of the Public Hearings that the National Assembly will organise to present their views on how best to reform our taxes and fiscal regime.

“What is never in doubt is the imperative of changing the existing tax laws and administration that have become obsolete and unhelpful in achieving the growth and development we desire for our country.”

Meanwhile, Seriake Dickson, chairman, Senate Committee on Ecology and Climate Change, and senator for Bayelsa West Senatorial District, declared that the federal legislature would pass the tax bills, despite some opposition to them.

Dickson, a two-term governor of Bayelsa State, told journalists that if the National Assembly could pass the Petroleum Industry Act (PIA), nothing would stop it from doing the same thing with the tax bills.

Dr. Olisa Agbakoba, former President of Nigerian Bar Association (NBA), called for urgent devolution of powers across Nigeria’s three tiers of government to improve national governance, efficiency, and development.

However, Ghali Tijani, a member of the House of Representatives, described the bills as anti-people. Tijani, who represents Albasu/Gaya/Ajingi Federal Constituency of Kano State in the Green Chamber, maintained that the bills were not in tandem with public interest.

Meanwhile, Dickson declared that the National Assembly would pass the tax bills despite opposition to them in some quarters.

He also discarded fears that the planned public hearing on the bills could be chaotic if it was not postponed for further consultation.

The former governor encouraged anyone or group opposed to the bills to attend the public hearing with facts if they had issues with any sections of the proposed fiscal legislations.

Dickson maintained that if the National Assembly could pass the PIA containing three per cent statutory fees payable to the host communities, despite the Niger Delta leaders’ insistence on the 10 per cent recommended in the executive bill, the tax reform bills won’t be an exception.

The three per cent fee represents Operating Expenses or Expenditure (OPEX) of the previous year being remitted to host communities by oil companies, as stipulated in the PIA 2021.

The former governor of Bayelsa State said the late President Umaru Musa Yar’adua had proposed 10 per cent for the host communities, but the National Assembly passed three per cent, after about two decades, without any protest.