ABUJA 鈥 President Bola Tinubu has said that the four tax reform bills he signed into law on Thursday were necessary and pivotal to the success of the country鈥檚 prosperity.
The bills which include the Nigeria Tax Bill (Ease of Doing Business), which aims to consolidate Nigeria鈥檚 fragment-ed tax laws into a harmonised statute; the Nigeria Tax Administration Bill, which will establish a uniform legal and operational framework for tax admin-istration across federal, state, and local governments.
Others are the Nigeria Revenue Ser-vice (Establishment) Bill, which repeals the current Federal Inland Revenue Ser-vice Act and creates a more autonomous and performance-driven national reve-nue agency鈥 the Nigeria Revenue Ser-vice (NRS); and the Joint Revenue Board (Establishment) Bill, which provides for a formal governance structure to facilitate cooperation between revenue authorities at all levels of government.
Tinubu signed it into law, at a brief ceremony at the State House, having been passed by the National Assembly.
The president said that the new Act presents a new lease of life to every Nigerian and future generation.
鈥淲hat we did a few minutes ago is the way forward for our country鈥檚 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.
鈥淲e 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 opportu-nities. We have shown the world that Nigeria is ready and open for business,鈥 the president stated.
He lauded the leadership and members of the National Assem-bly for passing the bills despite ini-tial misunderstandings.
鈥淚t was initially difficult, but not all roads will be easy in na-tion-building. What you have pro-vided is leadership and courage in the face of mounting disputes. Nowhere in the world would tax reforms be easy,鈥 the president said.
Addressing State House corre-spondents shortly after President Bola Tinubu signed the bills into law, Chairman of the Nigeria Rev-enue Service, Zach Adedeji, said the modalities will be put in place ahead of the implementation.
Speaking at a post-signing press briefing at the Presidential Villa, Abuja, Adedeji described the moment as 鈥渁 dream come true鈥 and hailed the president鈥檚 鈥渧ision, courage, and commitment鈥 to modernising the tax system.
鈥淭he implementation of the new tax laws will commence on January 1, 2026, giving stakehold-ers a six-month transition period to prepare.
鈥淭he effective date for imple-mentation has been set for Janu-ary 1, 2026, as announced by the relevant ministry,鈥 he said.
鈥淭his gives us a full six-month window for robust sensitisation, thorough planning, and align-ment with the government鈥檚 fiscal calendar. A reform of this magnitude cannot be rushed,鈥 Adedeji revealed.
Chairman of the Presidential Committee on Tax Reforms, Tai-wo Oyedele, said President Bola Tinubu had directed proper im-plementation of the laws while ensuring collective participation of all stakeholders.
Oyedele stressed that the reforms are pro-growth and pro-poor, aimed at improving equity, reducing burdens on vulnerable Nigerians, and stimulating eco-nomic development.
鈥淥ver one-third of workers in both public and private sectors will now be completely exempt from Personal Income Tax. More than 90% of micro, small, and nano enterprises are also exempt from Corporate Income Tax, VAT, and PAYE obligations,鈥 he noted.
Most significantly, Oyedele announced that essential goods and services, including food, healthcare, education, transpor-tation, and accommodation are now exempt from VAT, a move ex-pected to lower the cost of living for millions of Nigerians.
鈥淭hese essential categories account for over 80% of average household spending in Nigeria. By removing VAT, we鈥檙e putting money back in the hands of ordi-nary people,鈥 he added.
Oyedele was clear that the tax reforms are not about increasing tax rates, but about closing loop-holes, simplifying processes, and expanding the tax base through digitalisation.
鈥淭he new laws are designed to end discretionary waivers and ensure that tax incentives are ac-cessible to all qualifying business-es, not just the well-connected,鈥 he said.
Tinubu appended his signa-ture in the presence of top govern-ment officials including the Pres-ident of the Senate, the Speaker of the House of Representatives, the Senate and House Majority Leaders, as well as chairmen of the Senate and House Commit-tees on Finance.
Also in attendance were the Chairman of the Nigeria Gov-ernors鈥 Forum, the Chairman of the Progressive Governors鈥 Forum, the Minister of Finance and Coordinating Minister of the Economy, and the Attorney General of the Federation.
The bills were passed by the National Assembly after exten-sive consultations with a broad spectrum of stakeholders and interest groups nationwide.