Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, has outlined Nigeria’s new tax reform framework to global investors at the ongoing World Bank and International Monetary Fund (IMF) Annual Meetings in Washington D.C.
Oyedele said the reforms are designed to simplify tax compliance, cut business risks, and promote fairness in the country’s fiscal system.
Speaking in an interview with Arise TV, he said the overhaul is not just about increasing revenue but about building investor confidence and supporting inclusive economic growth.
He noted that Nigeria’s current tax system, with more than 60 different taxes, has created confusion and raised the cost of doing business.
“We have about 60 different taxes; we are going to repeal and replace obsolete tax laws,” Oyedele said, adding that the new structure would merge multiple levies into a simpler, technology-driven system.
The reforms aim to shift the tax burden away from low-income earners and small businesses while broadening the tax base to include sectors previously outside the system.
Oyedele explained that the approach will be progressive, ensuring that wealthier individuals contribute more while low-income households remain protected.
“The middle class will see a decline in tax burdens, while those at the top will see a slight increase,” he said.
He added that households earning below ₦250,000 monthly will be exempt from income tax, offering relief amid economic challenges.
The government expects the simplified structure to improve Nigeria’s low tax-to-GDP ratio and attract long-term foreign investment.
