The Lead Story
Headline: Tax Reset: Tinubu Signs Four Bills, Targets ₦50 Trillion and One Click Compliance
The Big Picture: Nigeria just pressed Ctrl + Alt + Tax. By signing four sweeping reform bills, President Bola Tinubu has kicked off the biggest rewrite of the country’s fiscal rules in decades—one that government officials say could pull in ₦50 trillion a year and finally drag tax administration into the digital age.
The Details: In a statement, the Revenue Mobilisation, Allocation and Fiscal Commission called the new laws a “milestone” that will "strengthen compliance" and widen the tax base, Voice of Nigeria reports. The package unifies dozens of statutes into a single Nigeria Tax Act, modernises VAT with real-time e-invoicing, and merges the FIRS, Joint Tax Board and sundry state bodies into the all-new Nigeria Revenue Service (NRS).
Timing matters: Executive chairman Zacch Adedeji told journalists the reforms won’t bite until 1 January 2026, giving businesses a six-month runway to retool systems, Aljazirah Nigeria noted.
And there’s relief baked in. Low-income earners are smiling after the Senate’s Solomon Adeola confirmed that anyone making ₦800,000 or less a year is now exempt from personal income tax, according to Channels TV. Essential goods—think basic food, textbooks and pharmaceuticals—are zero-rated for VAT, while small firms under ₦50 million in turnover will pay no company income tax, Condia Insider adds.
Why It Matters / What They’re Saying: The reaction was swift. Lagos Chamber of Commerce & Industry told The Nation the cleaner rulebook "will boost Nigeria’s competitiveness." Meanwhile, BusinessDay NG argues that the revamped VAT formula could shift more revenue to states, easing Abuja’s grip on purse strings and households’ cost pressures.
Around the Tax World
- PwC’s cheat sheet: The advisory giant listed 20 headline changes—from a new digital-services tax to streamlined dispute tribunals—giving CFOs a weekend reading marathon (Western Post).
- FIRS no more: “Two hours ago we were FIRS, now we are NRS,” chair Zacch Adedeji quipped at a press briefing, outlining the agency’s broader non-tax revenue mandate (Small Business Insights).
- Compliance pays—literally: A diligent MSME owner drove away with a new car and cash after topping the tax-compliance leaderboard (₦ Leadership](https://leadership.ng/firs-gifts-msme-operator-with-cash-car-for-tax-compliance/)).
- Talent vs. taxes: In a separate chat on hiring trends, JobberMan’s CEO warned that complex levies—not talent supply—are choking growth, reinforcing calls for a simpler regime (Premium Times Nigeria).
By the Numbers
Prime Number: ₦50 trillion — the annual revenue the presidency hopes to net once the new framework is fully operational (Aljazirah Nigeria).
Looking Ahead
All eyes now turn to the NRS, which has promised draft regulations “in the coming weeks” as the clock ticks toward the January 2026 go-live. Software vendors, you’re on deck.
Prepared by MyTax - mytax.com.ng