Full Video: President Tinubu Signs Four Tax Reform Bills Into Law
President Bola Ahmed Tinubu signed four major tax bills into law on Thursday, June 26, 2025, in what officials are calling a “bold new era of economic governance.” This announcement came from the Presidential Office and has been confirmed by credible news outlets, including Tinubu’s official media channels on Instagram and X (Twitter).
This legislative step is being framed as a cornerstone of Tinubu’s broader economic agenda to boost government revenue, reduce over-reliance on oil income, and create a more transparent, modern, and fair tax system for all Nigerians.
What Are These Bills All About?
Although the official titles and complete texts of the four tax bills have not been made public yet, insiders familiar with the administration indicate that the reforms intend to:
- Adjusting individual and business tax rates to align with present economic conditions.
- Widening the tax base to incorporate additional contributors from the informal economy.
- Implementing clearer compliance standards and electronic submission systems.
- Tightening measures against tax evasion using more rigorous enforcement methods.
- Harmonizing Nigeria’s tax framework with international best practices and benchmarks.
These actions are anticipated to bolster domestic revenue collection, particularly given the volatility of oil prices and increasing needs for public infrastructure, healthcare, and education.
Why This Is a Big Deal
For the Government
- The new tax laws will give the federal government greater financial stability by increasing non-oil revenue.
They will help fund essential services and public investments without always turning to foreign loans or depleting national reserves.
For Citizens and Small Businesses
- An increasing number of Nigerians, particularly informal workers (traders, artisans, freelancers), might need to register and remit taxes.
- Tax registration, submission, and payment are expected to move to digital platforms—simplifying the process while necessitating basic tech and recordkeeping abilities.
- Individuals with low incomes might gain from new exemptions, while others may encounter extra tax deductions or responsibilities.
- Small enterprises might need to submit monthly or quarterly returns, enroll for VAT, and monitor revenue in a more structured way.
- Certain companies might experience increased costs because of VAT and income tax, particularly if they have not been taxed before.
- Businesses that comply may be eligible for government loans, grants, or contracts and enhance their credit ratings.
- New regulations could lead to more audits, fines, and legal consequences for individuals who evade or underreport taxes.
- Government direction and public awareness initiatives will be essential to guarantee equitable and seamless execution.
For Investors and the Global Market
- Transparent and stable tax laws are a green flag for foreign investors, who often seek predictable environments before committing to new projects.
A modernized tax code will make Nigeria more competitive with other economies in Africa and beyond.
What Happens After the Bills Are Signed?
As soon as President Tinubu enacts the tax bills, the Federal Inland Revenue Service (FIRS) along with other pertinent organizations will start applying the new regulations. This will probably consist of:
- Awareness initiatives aimed at informing individuals and enterprises regarding the updated tax framework.
- Revised tax submission methods, featuring digital platforms for simplified adherence.
- Improved enforcement actions and monitoring systems to decrease tax evasion.
The implementation of this system is anticipated to occur slowly, with measures taken to harmonize enforcement and assistance for taxpayers adapting to the changes
Public Expectations
While the reforms have been welcomed by some economists and policy analysts, others are watching closely to see how inclusive and realistic the changes will be. Critics argue that without improved public services and visible results, higher taxes could breed public frustration.
However, the Presidency insists that these bills will not only increase fairness and efficiency, but also protect low-income earners, while ensuring that more people contribute to national development.
Final Thoughts
President Tinubu’s move to sign four new tax reform bills could mark a turning point in Nigeria’s economic strategy. If implemented well, these reforms have the potential to:
- Strengthen the country’s fiscal health
- Build trust in government systems
- Empower local industries and infrastructure
But much depends on how clearly the government communicates the changes, how fairly it enforces them, and how well it ensures that ordinary citizens benefit from the revenue generated.
All eyes are now on the Presidency and the pen that will make these laws official tomorrow.
