Zacch Adedeji, Executive Chairman of the Federal Inland Revenue Service (FIRS)—now renamed the National Revenue Service (NRS)—has confirmed that Nigeria’s newly signed four tax reform bills will take effect on January 1, 2026.
Speaking to State House Correspondents on Thursday, June 26, 2025, shortly after President Bola Ahmed Tinubu signed the historic tax legislation into law at the Presidential Villa, Adedeji explained that the timeline allows for six months of planning, sensitization, and alignment with the government’s fiscal calendar.
“Based on global best practices, when you have this kind of structural change, it takes time for all stakeholders—participants, operators, and even the regulator—to adjust,” Adedeji stated.
He emphasized that introducing such sweeping tax changes mid-year would cause confusion and implementation challenges.
“This kind of change is not something you implement mid-year. For proper application and ease of transition, the law will take effect from the start of the new fiscal year,” he added.
Key Objectives and Preparation Timeline
The effective date of January 1, 2026, will provide ample time for:
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Stakeholder engagement and education
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System upgrades for tax administrators
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Policy alignment across MDAs
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Public and private sector compliance planning
The four new tax laws—signed under Tinubu’s tax reform agenda—include:
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Nigeria Tax Bill (Fair Taxation)
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Nigeria Tax Administration Bill
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Nigeria Revenue Service (Establishment) Bill
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Joint Revenue Board (Establishment) Bill
According to the FIRS Chairman’s Special Assistant, Dare Adekanmbi, the phased approach underscores the administration’s commitment to fairness and transparency in economic reforms.
“This timeline gives everyone—government agencies, businesses, and citizens—enough time to understand and comply. You don’t impose such laws in the middle of a fiscal year,” Adekanmbi told Nairametrics.
The reforms are expected to unify Nigeria’s fragmented tax system, reduce bureaucracy, and improve transparency and revenue collection, especially from underserved sectors.
