The Controversy Over Tax Reform Laws
The recent changes to the new tax reform laws have sparked significant public and political reactions. Various groups, including the Socio-Economic Rights and Accountability Project (SERAP) and northern organizations, are calling for an investigation into the alleged illegal modifications to the law.
The tax laws, set to come into effect on January 1, 2026, were recently signed by President Bola Tinubu. However, some lawmakers, led by Sokoto’s Abdussamad Dasuki, have raised concerns about discrepancies between the harmonized bills passed by both chambers of the National Assembly and the versions that were gazetted.
In response, Speaker of the House of Representatives, Tajudeen Abbas, formed a seven-member committee chaired by Mukhtar Betara, the Chairman of the House Committee on Appropriations, to investigate these allegations.
Prominent political figures such as former Vice President Atiku Abubakar and Labour Party presidential candidate Peter Obi have urged the suspension of the implementation until further clarification is provided.
The Presidency has dismissed claims of secret alterations and insisted that the reforms will proceed as planned. In a statement, SERAP called on President Tinubu to direct the Attorney General of the Federation and Minister of Justice, Lateef Fagbemi, SAN, to publish certified true copies of the tax bills received from the National Assembly and the tax laws assented to by the President.
SERAP also requested the publication of certified true copies of the versions of the laws eventually gazetted. These documents include:
- The National Revenue Service (Establishment) Act
- The Joint Revenue Board of Nigeria (Establishment) Act
- The Nigeria Tax Administration Act
- The Nigeria Tax Act
The organization further urged the President to ensure that the versions of the tax bills received from the National Assembly match the versions signed into law and ultimately gazetted.
Calls for Transparency and Accountability
SERAP has also called for the formation of an independent panel of inquiry to investigate the allegations that there are material differences between the tax bills passed by the National Assembly and the tax laws gazetted by the Federal Government.
In a Freedom of Information request dated December 20, 2025, signed by SERAP’s Deputy Director, Kolawole Oluwadare, the organization stated that the panel should be tasked with establishing the facts surrounding the alleged alterations and identifying those responsible.
According to SERAP, the panel should be headed by a retired Justice of the Supreme Court or the Court of Appeal, with its findings made public. Anyone found responsible for the alleged alterations should be prosecuted as appropriate.
The organization warned that any unlawful alterations would violate the 1999 Constitution (as amended), international human rights law, and the principles of the rule of law and separation of powers.
“The law-making process, including the passage of bills, presidential assent and gazetting, must comply with constitutional requirements,” SERAP said, adding that laws must be accessible, authentic, clear and predictable.
It stated that clarifying discrepancies would promote transparency and accountability and help safeguard Nigerians’ human rights.
SERAP gave the Federal Government seven days to respond, warning that it would take legal action if its requests were ignored.
Rejection by Northern Groups
Northern groups have also rejected the newly enacted tax reform laws, alleging discrepancies between the versions passed by lawmakers and those gazetted.
In a statement issued in Kaduna, the Speaker of the Arewa Youth Assembly, Mohammed Salihu-Danlami, described the situation as “governance by ambush” and warned of serious political consequences if not addressed.
He said any law presented to the public must reflect what was debated and passed by elected representatives, adding that the alleged discrepancies constituted a constitutional crisis.
Danlami said, “If the law presented to the public is not the same law debated and passed by elected representatives, then democracy itself is being subverted. Legislation is not a private document; it is the collective will of the people.”
Meanwhile, the League of Northern Democrats has called on the National Assembly to commence impeachment proceedings against President Tinubu if allegations of alterations to the tax laws are proven.
In a letter dated December 17, 2025, addressed to Senate President Godswill Akpabio and Speaker Abbas, the group said the alleged alterations, if confirmed, would amount to a violation of the Constitution.
The letter, titled “Re-alleged Alteration of a Duly Passed Tax Law and Your Constitutional Duty to Act,” was signed by the group’s publicity secretary, Ladan Salihu.
The group said the President had no constitutional authority to amend or rewrite a bill passed by the National Assembly, noting that such action would constitute gross misconduct under Section 143 of the Constitution.
It warned that failure by the National Assembly to act decisively could undermine constitutional democracy and reduce the legislature to a subordinate arm of the executive.
Support for Tax Reforms
In contrast, the Chairman of the Ondo State Internal Revenue Service, Adebayo Rojugbokan, urged Nigerians to support the tax reforms, saying they would benefit economic development.
Speaking at an end-of-year event organized by the Akure Bankers’ Committee, Rojugbokan said there was no need for fear, describing the reforms as a modernization of Nigeria’s tax system.
He said the reforms would reduce the number of taxes and enhance transparency and accountability.
“Tax reform is just a way of modernising our taxation. It is a right of the people, and it can mean that individuals will reduce the number of taxes in Nigeria in 2026.
“The number of taxes is reduced and there are some people who are afraid of it. Taxation is a contribution by individuals to the development of the state and to the nation.
“So, since we are doing it correctly, we shouldn’t be afraid of anything. Nothing new is coming. It’s just taxation to ensure that there is transparency and accountability in the process.”
Rojugbokan added that ODIRS had intensified public enlightenment campaigns to improve internally generated revenue.
Praise for Tinubu’s Leadership
A chieftain of the National Democratic Coalition, Ayo Opadokun, also praised Tinubu for what he described as a bold and historic tax reform steering Nigeria toward fiscal federalism.
“For the first time in our recent history, Nigeria is being deliberately led towards the path of fiscal federalism. The new tax regime commencing on January 1, 2026, is a bold and necessary move that deserves commendation,” Opadokun said.
He said the reforms would strengthen sub-national autonomy and correct long-standing distortions in revenue allocation.
He acknowledged the social impact of the reforms, but urged the government to ensure that the benefits translate into improved living conditions for Nigerians.
He added that by strengthening revenue generation and accountability at the sub-national level, the reforms have the potential to deepen development, reduce overdependence on the centre and restore balance to Nigeria’s federal structure.
Assessing the state of the nation as of December 2025, Opadokun said the Tinubu administration had embarked on far-reaching economic reforms aimed at addressing long-standing structural weaknesses in the economy.
“Nigeria stands at a critical point in its historical journey. The present administration has shown the courage to confront difficult national realities, particularly in the economic sphere, that previous governments often postponed.”
However, the NADECO chieftain cautioned that positive macroeconomic indicators would remain meaningless unless they translated into tangible improvements in the lives of ordinary Nigerians.
“Positive indicators will remain elitist pastimes if they do not reflect on the tables and in the households of Nigerians,” he said.
Opadokun expressed optimism that Tinubu would use the remaining part of his first term to ensure that the benefits of the reforms, including the tax overhaul, were felt at the grassroots.
