New tax law fairer, more beneficial to Nigerians – FG

The Federal Government has said the recently enacted tax law is fairer and more beneficial to ordinary Nigerians, as it reduces the burden on small businesses and low-income earners while strengthening the country’s revenue system.

The Special Assistant to the President on Community Engagement (Southeast), Barr. Chioma Nweze, in a statement, disclosed this during a sensitisation forum held on Saturday at the International Conference Centre, Enugu.

Addressing participants, mostly women, Nweze said President Bola Ahmed Tinubu’s administration is determined to ensure that the ongoing tax reforms serve citizens equitably. Newspaper subscription bundles

“Our women, especially market women, must understand why the government collects taxes, what the government does with it, and how to pay without exploitation. The President has removed fuel subsidy, unified the exchange rate, and increased allocations to states. These reforms will ensure more projects are delivered to benefit citizens,” she said.

Nweze explained that targeting women for sensitisation was deliberate, recalling that historic revolts, such as the Aba Women’s Riot of 1929, were triggered by unfair taxation.

“When women are informed, they carry the message to their families and communities. We don’t want exploitative practices to return; instead, women should be empowered to benefit from government initiatives,” she added.

Also speaking, Chairman of the Tax Appeal Tribunal (Southeast Zone), Barr. Chukwumeka Eze, noted that the four new tax Acts signed into law on June 26, 2025, consolidated more than 20 scattered tax laws into a single framework.
He explained that businesses with annual turnover below ₦50 million are exempted from Companies Income Tax and Value Added Tax, while minimum wage earners will no longer pay personal income tax.

This is progressive taxation. The rich will now pay more within their means, while the poor will be protected. The days when wealthy individuals paid little tax are gone,” Eze stressed.

He highlighted the introduction of a Tax Dispute Resolution Mechanism, which allows citizens to lodge complaints free of charge and receive a resolution within 7–14 days.

A tax professional and chartered accountant, Mr. Innocent Chinyere Ohagwa, described the reforms as crucial to strengthening Nigeria’s fiscal base.Newspaper subscription bundles

“SMEs account for more than 90% of businesses and nearly 60% of jobs in Nigeria. By removing multiple taxation and unfair levies, government is giving them space to grow, create wealth, and support economic diversification,” he said.

Dr. Zino Ugboma, representing the Nigerian Education Loan Fund (NELFUND), explained how tax revenues are already being channelled into expanding access to education.
He said undergraduates in universities, polytechnics, and colleges of education can now access tuition and living-cost loans, repayable only after securing employment, two years post-NYSC. Newspaper subscription bundles

“This is a direct way of showing that taxation is not just about collection, but also about giving back to the people,” Ugboma noted.
The forum, which had in attendance officials of the Federal Inland Revenue Service (FIRS), women leaders, professionals, and community stakeholders, ended with a call for stronger collaboration to ensure the success of the reforms.

Participants, including Mrs. Nnenna Otuonye, commended President Tinubu for pushing a fairer tax system and urged Southeast residents to embrace compliance for economic growth.