No Going Back on Jan. 1 Take-off for New Tax Laws, FG Insists

*National assembly directs clerk to re-gazette new legislations 

*Tax reform facing legitimacy test, says Seadogs

Deji Elumoye, Chuks Okocha, Sunday Aborisade and Adedayo Akinwale in Abuja

The federal government yesterday reaffirmed its stance that the rollout of the new tax laws would commence on January 1, 2026, insisting there will be no postponement despite recent controversies and calls for its postponement.
However, following recent concerns expressed by Nigerians on the legislative process relating to the passage of tax laws, the presidential assent, and publication in the Official Gazette of the federal government, the leadership of the  National Assembly has directed the Clerk to re-gazette the Tax Acts and issue Certified True Copies of the versions duly passed by both Chambers.

Also, the National Association of Seadogs (NAS), also known as Pyrates Confraternity, yesterday, warned that growing questions about transparency, legality, and sovereignty about ongoing tax reform process now threaten to overshadow the substance of the reforms.
 The federal government also explained that the overall objective of the tax reforms was to promote economic growth, inclusivity, as well as shared prosperity.

Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, stated this while speaking with newsmen after a meeting with President Bola Tinubu at his Ikoyi residence in Lagos, where he led a delegation that included the Chairman of the Nigerian Revenue Service (NRS), Zacch Adedeji, and the Chairman of the National Tax Policy Implementation Committee, Joseph Tegbe.
“We’re actually excited about the progress we’re making, and we’re looking forward to January 1, 2026,” he said.

Answering questions on the level of preparedness for implementation, Oyedele said planning had been extensive and deliberate, beginning from the moment the bills were transmitted to the National Assembly.
According to him: “As you know, the Tax Reform Bills were at the National Assembly for nine months; from October 2024 until June 2025, and for us, preparation started from day one”.

He added that the six months since presidential assent had been devoted to “capacity building, system upgrade and sensitisation.”
Oyedele described the reform as a continuous process rather than a one-off event.
“This kind of reform is work in progress. You never get to perfection; you get better as you go along. So we believe that we’re at a point already”.

He explained that the staggered commencement of the laws was intentional, allowing institutions created by the reforms to become operational ahead of full implementation.
“One of the reasons why two of the tax laws took effect about six months ago is so that those institutions can start getting ready. For example, you have the Office of the Tax Ombudsman. You can’t set up that office on day one and it begins to work on day one,” he said.
On expected revenue from the reforms, Oyedele clarified that immediate revenue generation was not the primary goal, arguing that sustainable revenue would come from economic expansion and improved compliance.

“The intention for this tax reform is not immediate revenue generation. We believe that over time, you get revenue from growth, when the economy is growing,” he said.

He added that by widening the tax base, eliminating wasteful incentives and improving tax culture, the reforms would deliver fairness and stronger public finances in the long run.

“If people that were not paying before start paying and they’re not low-income earners not only do you get more revenue, you get fairness for society,” Oyedele said.

He explained that the visit was to brief the President on the state of implementation of the four landmark tax reform laws signed earlier this year, noting that two of the laws are already in force.

“So we met with Mr. President to give an update about the implementation of the Tax Reform Laws. As you’re already aware, there are four of those laws, and two of them have already commenced”.

According to him, the Nigerian Revenue Service (Establishment) Act and the Joint Revenue Service (Establishment) Act took effect on June 26, 2025, while the remaining two, the Nigerian Tax Act and the Nigerian Tax Administration Act, are scheduled to commence on January 1, 2026.

“The remaining two laws, that’s the Nigerian Tax Act and the Nigerian Tax Administration Act, are scheduled to commence on the first of January 2026,” he stated, stressing that the timeline remains unchanged.

Oyedele said the federal government welcomed the recent position of the House of Representatives Committee on the allegations of alteration surrounding the laws, adding that the Executive remains open to legislative engagement where necessary.

“We welcome the statement by the National Assembly, House of Representatives’ committee today on the findings and the work around the allegations about alteration. The Federal Government is committed to working with the National Assembly, if and when any action is required”.

He emphasised that the decision to proceed with implementation as planned was driven by the pro-people nature of the reforms, which are designed to reduce the tax burden on ordinary Nigerians and stimulate economic growth.

“Therefore the plan to commence the two remaining new laws on the first of January 2026 will go ahead as planned, on schedule, because these reforms are designed to provide relief to the Nigerian people,” Oyedele said.

He disclosed that under the new tax regime, the vast majority of workers and small businesses would benefit significantly, with lower or zero tax obligations.

“Bottom 98 per cent of workers will see either no PAYE tax or lower taxes to be paid. Small businesses, 97 per cent of them, will be exempted from Corporate Income Tax, VAT, Withholding Tax, and large businesses will see a drop in the taxes that they pay,” Oyedele further explained.

National Assembly Directs Clerk to Re-gazette Tax Laws

 Following recent concerns expressed by Nigerians on the legislative process relating to the passage of Tax law, the presidential assent, and publication in the Official Gazette of the federal government, the leadership of the  National Assembly has directed the Clerk to re-gazette the Tax Acts and issue Certified True Copies of the versions duly passed by both Chambers.

The Spokesperson of the House, Hon. Akin Rotimi, in a statement issued yesterday said the recent commentaries have raised issues concerning the harmonisation of Bills passed by the Senate and the House of Representatives, the documentation transmitted for Presidential assent, and the versions of the Acts subsequently published in the Official Gazette.

He assured the public that these matters are being addressed strictly within the constitutional and statutory remit of the National Assembly.

Rotimi recalled that last week, the House constituted a seven-man Ad Hoc Committee on the matter after an Honourable Member raised it under a Point of Order (Privileges).

The Spokesperson explained that the Ad Hoc Committee, alongside other relevant Committees of the National Assembly, working in collaboration with the Management of the National Assembly, is undertaking an institutional review to establish the sequence of events and to identify any factors that may have contributed to the circumstances surrounding the legislative and administrative handling of the Acts.

Rotimi added that this included a careful examination of any lapses, irregularities, or external interferences, should any be established.

He stressed that the review was being conducted in full conformity with the Constitution of the Federal Republic of Nigeria, the Acts Authentication Act, Cap. A4, Laws of the Federation of Nigeria, the Standing Orders of both Chambers, and established parliamentary practice.

“In the course of this review, and in the interest of clarity, accuracy, and the integrity of the legislative record, the leadership of the National Assembly, under the President of the Senate, Distinguished Senator Godswill Obot Akpabio, GCON, and the Speaker of the House of Representatives, Rt. Hon. Abbas Tajudeen, PhD, GCON, has directed the Clerk to the National Assembly to re-gazette the Acts and issue Certified True Copies of the versions duly passed by both Chambers of the National Assembly.

“This administrative step is intended solely to authenticate and accurately reflect the legislative decisions of the National Assembly.

“This review is strictly confined to institutional processes and procedures. It does not constitute, imply, or concede any defect in the exercise of legislative authority by the House of Representatives or the Senate.

“It is undertaken without prejudice to the powers, functions, or actions of any other arm or agency of government, and without prejudice to any rights, obligations, or legal processes arising under the Constitution or any other applicable law.”

Rotimi emphasised that the National Assembly remained firmly committed to the principles of constitutionalism, separation of powers, due process, and the supremacy of the rule of law.

“Where procedural or administrative refinements are identified, appropriate corrective measures will be taken in accordance with the law and established parliamentary conventions.”

He called on members of the public to respectfully allow the National Assembly’s institutional processes to proceed without speculation or conjecture.

Rotimi maintained that the leadership of the House remained committed to transparency, accountability, and the faithful discharge of its constitutional responsibility as custodian of the legislative authority of the Federal Republic of Nigeria.

Tax Reform Facing Legitimacy Test, Says Seadogs

Meanwhile, the National Association of Seadogs made its position known in a statement by its Cap’n, Dr. Joseph Oteri, issued yesterday

In the statement, the Association acknowledged the necessity of tax reform but cautioned that the manner in which the new tax laws and related agreements are being handled risks provoking a legitimacy crisis that could erode public trust, voluntary compliance, and constitutional order.

Of particular concern is Nigeria’s recent tax-related Memorandum of Understanding (MoU) with France, which NAS said appears to have been concluded with limited public disclosure and inadequate legislative scrutiny.

Reports suggesting expanded information exchange, cross-border tax enforcement powers, and extensive data-sharing obligations, it warned, raise serious red flags.

NAS said, “International tax cooperation must not come at the expense of fiscal sovereignty, taxpayer rights, or democratic oversight.

“Any agreement that potentially exposes Nigerian citizens and businesses to foreign tax authorities requires transparency, reciprocity, and explicit parliamentary approval.”

The association warned that any perception that Nigeria is conceding disproportionate control over taxpayer data or fiscal decision-making under external pressure is deeply troubling, especially given persistent weaknesses in data protection enforcement and existing trust deficits in public institutions.

“It is important that these public concerns are addressed and clarified,” Oteri said.

Closely linked to this is the planned expansion of the Tax Identification Number (TIN) regime into a fully data-driven tax administration system.

While recognising the benefits of modernisation, NAS cautioned that a surveillance-heavy tax architecture without strong legal safeguards, independent oversight, and enforceable data privacy protections will provoke resistance rather than compliance.

More troubling still, the association said, are “credible” allegations that the versions of the Tax Reform Acts signed into law differ materially from those passed by the National Assembly after legislative debate and public hearings.

It warned, “Claims that provisions were altered, inserted, or removed after legislative passage strike at the heart of constitutional governance, legislative supremacy, and the rule of law.

“If left unresolved, these allegations risk rendering the reforms both legally and morally defective.”

The association stressed that no tax system can command obedience where citizens believe the law itself has been compromised in its making.

Against this backdrop, NAS urged the federal government to immediately publish the official consolidated texts of all Tax Reform Acts, along with a clear, line-by-line clarification of any alleged discrepancies between what was passed by the legislature and what was ultimately signed into law.

It also called for early issuance of implementation regulations ahead of January 1, 2026, robust guarantees of taxpayer rights, and enforceable data protection standards consistent with constitutional safeguards.

The association further urged the government to provide transitional fiscal support for economically vulnerable states and sectors, warning that abrupt implementation amid economic fragility could widen inequality and strain national cohesion.

While reaffirming that Nigeria’s tax system, long plagued by inefficiency, revenue leakages, and weak compliance, requires reform, NAS noted that measures such as retaining VAT at 7.5 per cent, expanding exemptions for essential goods and services, and granting reliefs to small businesses offer only limited cushioning.

It added, “Economic concessions cannot compensate for procedural opacity or constitutional defects.

“With escalating living costs, insecurity, infrastructure decay, and regulatory inefficiencies already burdening households and businesses, tax reform must be not only economically sound but procedurally just and transparently enacted.”

The association concluded that genuine fiscal reform must strengthen and not weaken the social contract.