New Tax Laws Take Effect Jan 1: What You Need to Know

Taiwo Oyedele (Economist and Accountant)

Taiwo Oyedele, the head of the tax reform committee, has confirmed that the new tax laws will definitely start on 1 January 2026.

 According to Oyedele, “The plan to commence the new laws on January 1, 2026, will go ahead as planned on schedule because these reforms are designed to provide relief to the Nigerian people.

“Bottom 98 per cent of workers will see either no Pay As You Earn, PAYE, tax or lower taxes to be paid.

“Small businesses; 97 per cent of them will be exempted from Corporate Income Taxes, Value Added Tax, VAT, and Withholding Tax, and large businesses will see a drop in the taxes that they pay.

“The whole idea is to try and promote economic growth, inclusivity as well as shared prosperity for our people.”

Oyedele shared the update in Lagos on Friday after meeting with President Bola Tinubu. He was joined by the head of the FIRS, Zacchaeus Adedeji, and the tax policy chairman, Joseph Tegbe.

Regarding the suggested changes to the tax laws, Oyedele welcomed the Parliament’s involvement. He noted that the government will work with lawmakers to resolve any concerns raised by the public.