President Tinubu Signs Four Landmark Tax Reform Bills into Law, Effective January 2026

June 26, 2025

In a major milestone for Nigeria’s fiscal transformation, President Bola Ahmed Tinubu has signed into law four comprehensive tax reform bills, marking a significant overhaul of the country’s tax and revenue framework.

The signing ceremony, held Thursday at the Presidential Villa in Abuja, was witnessed by high-level government officials including the Senate President, Speaker of the House of Representatives, top legislators, state governors, and federal ministers.

The Four New Laws

The newly signed legislation includes:

1. Nigeria Tax Bill (Ease of Doing Business)

2. Nigeria Tax Administration Bill

3. Nigeria Revenue Service (Establishment) Bill

4. Joint Revenue Board (Establishment) Bill

Together, these laws aim to streamline Nigeria’s complex tax environment, enhance revenue collection, and create a more transparent and business-friendly economy.

“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,” said Bayo Onanuga, Special Adviser to the President on Information and Strategy.

What Each Bill Will Do

1. Nigeria Tax Bill (Ease of Doing Business):
This bill consolidates Nigeria’s fragmented tax codes into a single statute. By reducing the multiplicity of taxes and eliminating redundancies, it is expected to lower compliance burdens for businesses and provide a more predictable fiscal environment.

2. Nigeria Tax Administration Bill:
This legislation creates a uniform legal and operational framework for tax administration across all tiers of government — federal, state, and local — ensuring consistency and reducing administrative friction.

3. Nigeria Revenue Service (Establishment) Bill:
The third bill repeals the existing Federal Inland Revenue Service (FIRS) Act, establishing the Nigeria Revenue Service (NRS) as a more autonomous and performance-oriented agency. The new NRS will be responsible for both tax and non-tax revenue collection, with stronger mandates for transparency and efficiency.

4. Joint Revenue Board (Establishment) Bill:
This bill establishes a formal governance structure to foster collaboration between federal, state, and local revenue authorities. It also creates a Tax Appeal Tribunal and an Office of the Tax Ombudsman to enhance taxpayer rights and dispute resolution.

Implementation Timeline and Next Steps

Speaking to State House Correspondents after the ceremony, Zacch Adedeji, Executive Chairman of FIRS—now renamed the Nigeria Revenue Service (NRS)—announced that the new laws will take effect from January 1, 2026.

“This timeline gives the government six months to prepare, sensitize stakeholders, and align the reforms with Nigeria’s fiscal calendar,” Adedeji said.

Reactions and Context

The road to these reforms was not without challenges. The bills, introduced earlier in 2025, sparked nationwide debates, especially around potential tax burdens and implications for federalism. As a result, the National Assembly conducted extensive consultations with various stakeholders, including business groups, tax professionals, and civil society.

The final versions of the bills reflect feedback from those engagements, aiming to strike a balance between increasing government revenue and easing the cost of doing business in Africa’s largest economy.

Also present at the signing were:

• Governor Abdulrahman Abdulrazaq (Chairman, Nigeria Governors Forum)

• Governor Hope Uzodinma (Chairman, Progressives Governors Forum)

• Minister of Finance and Coordinating Minister of the Economy, Wale Edun

• Attorney General of the Federation, Lateef Fagbemi

What This Means for Nigerians

For businesses, these reforms could simplify compliance and reduce regulatory hurdles. For investors, the laws promise a more transparent tax environment. And for citizens, the establishment of ombudsman services and appeal systems may offer better protection against arbitrary tax actions.

As Nigeria seeks to diversify its revenue base away from oil, these laws are seen as a bold step toward fiscal modernization and economic stability.

Stay Updated:
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