The Lead Story
Untangling Nigeria’s 60-Agency Tax Spiderweb
The federal government just grabbed a very large broom – and it’s sweeping through more than 60 federal, state & local tax bodies that have wrapped Nigeria’s digital economy in red tape. Speaking at the NCC’s maiden Attorneys-General workshop in Lagos, presidential tax czar Taiwo Oyedele said the plan is to pull down the maze of overlapping levies strangling telecoms and tech growth, Business News Nigeria reports (link).
For years, telcos have juggled dozens of “nuisance taxes” – right-of-way fees here, ICT levies there – often demanded by officials who cite contradictory laws. Oyedele told state law officers the administration will harmonise charges into a single, transparent framework, adding that some existing taxes are flat-out illegal.
Industry players didn’t wait to cheer. One regulator called the announcement “a lifeline for broadband rollout,” while legal advisers argued the clean-up could cut compliance costs by double digits. Still, state governments anxious about lost revenue signalled they want a seat at the negotiating table.
Why it matters: Telecoms account for about 14% of GDP. Every naira shaved off multiple taxation, analysts say, drops straight into faster 5G expansion, cheaper data, and more digital jobs. As one senior lawyer warned, “If we don’t fix this, we’re taxing away our own future.”
Around the Tax World
• Five-per-cent petrol surcharge incoming… The new Tax Administration Act adds a 5% levy on refined petrol from January 2026, potentially netting ₦796 billion a year but igniting consumer backlash over pump-price hikes (Punch).
• Manufacturers push for smoother road-tax stickers. The Manufacturers Association of Nigeria wants clearer rules for the Single Inter-State Road Tax Sticker (SIRTS) and Single Haulage Fee, warning of “arbitrary enforcement” that delays deliveries (NAN).
• Farewell to blanket tax holidays. The FIRS has halted issuance – and renewal – of tax-exemption certificates for pioneer companies, NGOs and free-zone operators to tighten compliance (The Nation).
• New laws, new sheriff. Four mega tax bills signed in June fold 50+ taxes into one code and transform the FIRS into the independent Nigeria Revenue Service (Africa Check).
By the Numbers
Tax Stat of the Day: ₦796,000,000,000 – the annual haul the 5% petrol surcharge could deliver if 2024 fuel volumes hold steady (Punch).
Looking Ahead
All eyes now turn to the National Assembly, which must amend sector-specific laws to fully dissolve the 60-agency tax maze – and to January 1, 2026, when the petrol levy and the new unified revenue service officially kick in.
For more tax news and insights, visit our MyTax Blog.
Prepared by MyTax - mytax.com.ng