The Federal Government has reiterated that the Tax Reform Bill, introduced by President Bola Tinubu and pending approval in the National Assembly, aims to reform tax systems, improve business operations, and protect low-income earners from undue financial strain.
At a press briefing held at the National Orientation Agency (NOA) office in Osogbo, the Director-General of NOA, Mallam Lanre Issa-Onilu, emphasized the bill’s potential to eliminate the issue of multiple taxation, which has been a persistent challenge in the country.
Issa-Onilu, represented by the agency’s Director of Report Coordination and Improvement, Olubukola Olorunfemi, outlined the key components of the reform.
“The tax reform bills are four different bills that seeks to bring everything about taxation and administration of tax in Nigeria under four different pieces of legislation,” he stated.
The bills include: 1. The Nigeria Tax Bill – Integrates existing tax laws into a single framework and will repeal 11 outdated laws on tax imposition and collection.
2. The Nigeria Tax Administration Bill – Focuses on enhancing tax governance.
3. The Nigeria Revenue Service Establishment Bill – Establishes a unified revenue service.
4. The Joint Revenue Board Establishment Bill – Coordinates tax policies across various levels of government.
He added that the reforms would address the issue of redundant taxation, preventing multiple authorities from imposing taxes on the same item.
Furthermore, individuals with low earnings would pay minimal or no taxes, helping them manage their finances more effectively.
“The Nigeria Tax Bill basically amalgamated all the existing laws in which provisions for taxation was made. When passed, this bill will lead to the repeal of 11 laws that contain provisions on imposition and collection of taxes.
“The government is working to stop different levels of authority from taxing people for the same thing. Those earning very little will pay little or no taxes, helping them manage their finances better.
“New digital systems are being introduced to make tax payments easier, faster, and more accountable. Tax revenue will be used to improve essential public services like schools, hospitals, and infrastructure, ensuring citizens see the benefits of their contributions,” Olorunfemi explained.
The reforms, according to the Federal Government, aim to ease the financial burden on hardworking Nigerians while ensuring a fair and equitable tax system for all.
