FG: New Tax Reforms Aim to Ease Burden, Not Add Pain

Government urges accurate public communication to counter misinformation

The Federal Government has reassured Nigerians that the recently enacted tax reforms are designed to ease financial burdens rather than worsen them, attributing public anxiety to widespread misinformation.

Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, Taiwo Oyedele, made the remarks during a courtesy visit to the National Orientation Agency (NOA) in Abuja on Friday. He said the committee sought the agency’s support in educating citizens on the reforms’ benefits, warning that false narratives could derail the initiative.

“You can say subsidy removal came with some amount of pain and sacrifice. Naira floatation also means people have to pay more, but this tax reform is coming with benefits,” Oyedele said. He added that exemptions for small businesses, workers, and the middle class, along with reduced corporate taxes and harmonised levies across federal, state, and local governments, would significantly ease the tax burden.

Signed into law by President Bola Tinubu in October 2025, the reforms are set to take effect from January 1, 2026. They introduce exemptions for small businesses, reduce taxes for low- and middle-income earners, lower corporate taxes, and streamline compliance procedures while removing nuisance taxes to encourage investment.

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Oyedele said the committee had identified 50 exemptions and relief measures to benefit Nigerians. He lamented, however, that online misinformation has sparked fear, including false claims circulating among northern farmers that the government intends to seize one in four baskets of produce.

“Unfortunately, in our environment, good news doesn’t go viral, but misinformation spreads quickly,” he said, stressing that ethnic and religious distortions of the reforms also needed careful management.

NOA Director-General Lanre Issa-Onilu welcomed the reforms, describing them as “the first comprehensive, far-reaching response in the fiscal and tax space we have seen.” He assured that the agency would help communicate the benefits in local languages and relatable formats to ensure public understanding.