Nigeria’s New Tax Reforms Must Be Anchored on Trust

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info@eienigeria.org

December 23, 2025
Lagos, Nigeria

For Immediate Release 

Press Statement

Nigeria’s New Tax Reforms Must Be Anchored on Trust, Transparency, and Legal Certainty – EiE Nigeria

“Tax reform is a social contract, not just a revenue exercise, and its success depends on transparency, legal certainty, and public trust.”

–Ufuoma Nnamdi-Udeh
(Deputy Executive Director, Programs, EiE Nigeria)

Enough is Enough (EiE) Nigeria has called on the Federal Government to pause the implementation of Nigeria’s newly enacted tax reform laws, scheduled to commence on January 1, 2026, until critical governance, transparency, and public trust concerns are addressed.

The organisation has formally documented these concerns and governance conditions and is placing them in the public domain in the interest of transparency, accountability, and democratic oversight. The call follows widespread public debate and controversy surrounding the new tax framework, including questions about legislative integrity, transparency in international agreements, and inadequate public understanding of the reforms.

While the passage of the four tax reform laws in June 2025; the Nigerian Tax Act, Nigerian Tax Administration Act, Nigerian Revenue Service (Establishment) Act, and the Joint Revenue Board (Establishment) Act represents a significant policy shift aimed at improving revenue mobilisation and fiscal sustainability, tax reform is not merely a technical or administrative exercise, but a social contract between the state and its citizens.

Public trust in Nigeria’s tax system remains fragile, shaped by long-standing concerns about transparency, accountability, and the use of public funds. These trust deficits have been further aggravated by:

1. Widespread public misunderstanding of the content and implications of the new tax laws.
2. Heightened misinformation and disinformation in public discourse.
3. Controversy surrounding a Memorandum of Understanding between the Federal Inland Revenue Service (FIRS) and the French Government, particularly around data privacy and public disclosure.
4. Allegations by a serving member of the House of Representatives that the gazetted tax laws differ from the versions passed by the National Assembly.

Proceeding with implementation without resolving these issues risks delegitimising the reforms at inception, weakening voluntary compliance, increasing public resistance and litigation, and further eroding confidence in public institutions.

“Tax reform cannot succeed on speed and enforcement alone. Without transparency, legal certainty, and public understanding, these reforms risk failing at inception by eroding the trust that compliance depends on,” said Ufuoma Nnamdi-Udeh, Deputy Executive Director, Programs, Enough is Enough (EiE) Nigeria.

Accordingly, the organisation has outlined the following governance safeguards as preconditions for implementation:

1. The exact versions of the tax bills passed by the National Assembly and assented to by the President must be made publicly available. Where discrepancies exist between passed bills and gazetted Acts, these must be fully disclosed and lawfully corrected.
2. An independent investigation should be conducted to establish responsibility for any unlawful alterations to the tax laws after legislative passage, and safeguards should be put in place to prevent recurrence.
3. The MoU between FIRS and the French Government should be proactively disclosed to the public, in line with transparency and data protection best practices.
4. A minimum six-month nationwide civic education campaign should precede enforcement, explaining the tax reforms in plain language, clarifying implications for different categories of taxpayers, and outlining the intended development outcomes.

“These actions are not obstacles to reform; they are enablers of durable reform,” the organisation stated. Addressing legitimacy, transparency, and public understanding upfront will strengthen trust in tax and government institutions and improve compliance and reform outcomes over the long term.

Enough is Enough (EiE) Nigeria reaffirmed its commitment to strengthening Nigeria’s fiscal social contract by empowering citizens to understand, question, and engage governance processes, and urged government and tax authorities to prioritise governance integrity and citizen confidence over speed or optics.

God bless the Federal Republic of Nigeria!

Enough is Enough Nigeria (www.eie.ng) is a network of individuals and organizations committed to instituting a culture of good governance and public accountability in Nigeria through active citizenship. EiE’s #RSVP – Register | Select | Vote | Protect is a key voter education campaign. EiE was an integral part of the #OccupyNigeria movement in 2012 and is very active in the #OpenNASS and #OfficeOftheCitizen campaigns.