Dr. Zacch Adedeji, Executive Chairman of the Federal Inland Revenue Service, welcomed a delegation headed by His Excellency Bengt van Loosdrecht, Ambassador of the Kingdom of the Netherlands to Nigeria. This meeting, held at the Revenue House in Abuja, marked the commencement of the renegotiation of the Double Taxation Agreement between Nigeria and the Netherlands, signifying a new chapter in Nigeria’s international tax relations.

Since the enactment of the Tax Reform Bill by President Bola Ahmed Tinubu (GCFR) on June 26, 2025, there has been a noticeable rise in interest regarding Nigeria’s updated tax framework. Less than a week post-signing, both domestic and international stakeholders have started engaging, with the Kingdom of the Netherlands being the first foreign nation to begin formal renegotiation of its tax agreement with Nigeria. The objective is to align the agreement with the recent reforms and eliminate outdated provisions, particularly those addressing double taxation that no longer suit current conditions.

Dr. Zacch welcomed the delegation on behalf of the Nigerian President, Government, and its citizens, describing the visit as timely given the recent updates in local and global tax systems.

He stated, “The need to review the existing agreement has become essential due to changes in the domestic and international tax environment. Our government’s tax reforms, global actions against Base Erosion and Profit Shifting (BEPS), and other evolving international standards necessitate this update.”

He further asserted that these discussions resonate with the current administration’s policy direction and underscore Nigeria’s dedication to a fair and transparent process.

“This renegotiation aligns with the fiscal and tax reform goals pursued by President Bola Ahmed Tinubu’s administration. We are focused on expanding the domestic tax base, enhancing tax administration, and ensuring that our tax system promotes inclusive economic growth,” he added.

Ambassador van Loosdrecht appreciated the warm reception and emphasized the cooperative spirit of the negotiations.

He remarked, “Our meeting today symbolizes the goodwill and honest intentions we bring to the table. I assure you that my colleagues from the Netherlands will engage in good faith, which is fundamental for fruitful negotiations.”

He expressed optimism about the treaty discussions, indicating confidence in both teams’ professionalism.

“A treaty is about discovering mutual ground and building on it. I am assured that both sides have skilled and professional teams, and I anticipate a productive week ahead,” he stated.

The recently enacted tax reform legislation includes the Nigeria Tax Act, Nigeria Tax Administration Act, Nigeria Revenue Service (Establishment) Act, and Joint Tax Board (Establishment) Act, all of which revamp tax management in Nigeria.

The upcoming six months will focus on synchronizing tax data, executing the newly established laws, and preparing systems for the January 1, 2026 launch of the Nigeria Revenue Service. This transitional phase will also involve reviewing current tax agreements to ensure they align with the new reforms.