Nigerian Government Defends Tax Reform, Dismisses Claims of Controversy

A Nigerian government official has defended the country’s newly enacted tax reform law saying the process was transparent, constitutionally sound and essential for long-term economic development despite public debate surrounding the changes.

Speaking on Arise News TV, the official said tax reform was a key promise made by President Bola Tinubu during his inaugural address, arguing that Nigeria’s fragmented tax system could not support the level of development envisioned by the administration.

“From the beginning, it was clear that the tax system we had could not sustain the kind of development Mr. President envisioned,” the official said, describing tax reform as the foundation of any sustainable economy.

According to the official, the reform process began early in the administration and included the creation of a committee led by Taiwo Yidili, which spent a year consulting with stakeholders, gathering data and developing proposals.

The draft legislation was later submitted to the National Assembly, where it went through public hearings, regional engagements and other legislative procedures before being passed and signed into law in June.

The official rejected suggestions that the reform process lacked transparency or violated constitutional norms, saying all branches of government acted within their defined roles.

“As of today, we have a gazetted law as passed by the last Assembly,” the official said, adding that the responsibility of revenue authorities is now limited to implementing the law as approved by lawmakers.

Addressing public criticism, the official said resistance was expected whenever major reforms are introduced, particularly those affecting taxation.

“It’s very difficult for people to part with their income,” the official said noting that opposition often comes from those who benefit from the status quo or fear change.

The official emphasised that the reform is not intended to increase the overall tax burden but to improve efficiency, fairness, and transparency.

“The whole essence of reform is to tax right, not taxing more,” the official said. “We want fairness, transparency, and to consolidate the system to simplify and unify revenue administration.”

The government says the reform will strengthen Nigeria’s fiscal framework and provide a more sustainable foundation for economic growth.