- FG insists new tax laws will begin January 1, 2026
- Majority of workers to pay lower or zero PAYE tax
- Small businesses to be exempt from major taxes
- Government dismisses calls for suspension despite controversy
The Federal Government has said there is “no going back” on the implementation of the new tax laws scheduled to begin on January 1, 2026, despite growing concerns from some lawmakers.
The Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, Taiwo Oyedele, made this known while speaking to journalists after members of the National Tax Policy Implementation Committee (NTPIC) visited President Bola Ahmed Tinubu at his Lagos residence.
ATTENTION: Click “HERE” to join our WhatsApp group and receive News updates directly on your WhatsApp!
Oyedele explained that the government remains confident that the new tax laws will bring relief to Nigerians, especially workers and small business owners.
“The plan to commence the two remaining new laws on the 1st of January 2026 will go ahead as scheduled because these reforms are designed to provide relief to the Nigerian people,” Oyedele said.
According to him, 98 per cent of workers will either pay no Pay-As-You-Earn (PAYE) tax or see a significant reduction, while 97 per cent of small businesses will be exempt from corporate income tax, VAT, and withholding tax
He added that even large companies would benefit from reduced tax obligations under the new framework.
Oyedele noted that the tax reform bills spent nine months at the National Assembly, from October 2024 to June 2025, giving the government enough time to prepare for smooth implementation.
Since the laws were signed, he said authorities have focused on capacity building, system upgrades, and public sensitisation to ensure the reforms work effectively.
READ ALSO: Fayose Alleges Makinde Received ₦50bn From Tinubu After Ibadan Explosion
The early implementation of some aspects of the laws, he explained, was deliberate, allowing new institutions to begin operations ahead of the full rollout in 2026.
“The whole idea is to promote economic growth, inclusivity, and shared prosperity. We are excited about the progress so far and fully prepared for January 1, 2026,” he added.
Earlier in December, Hon. Abdulsammad Dasuki, a lawmaker representing Sokoto State, raised concerns over alleged differences between the tax laws passed by the National Assembly and the versions later gazetted.
These claims led to calls for a suspension of the new tax laws, with critics warning that the situation could affect the credibility of Nigeria’s legislative process.
However, on December 26, House of Representatives spokesman Akin Rotimi announced that a special committee had been set up to investigate the matter and establish what went wrong.
Despite the controversy, the Federal Government insists the tax reforms will move forward as planned.
