The Federal Government has officially published Nigeria’s new tax reform laws in the national gazette, following President Bola Tinubu’s assent on June 26. The announcement was made in a statement signed on Wednesday by Kamorudeen Yusuf, Personal Assistant on Special Duties to the President.
The reforms introduce four new legislations:
- Nigeria Tax Act 2025
- Nigeria Tax Administration Act 2025
- Nigeria Revenue Service (Establishment) Act 2025
- Joint Revenue Board (Establishment) Act 2025
According to the gazette, small businesses with an annual turnover below ₦100 million and assets valued under ₦250 million will be exempted from corporate tax. For large firms, the corporate tax rate may be reduced from 30% to 25% at the President’s discretion.
Other key provisions include:
- Top-up tax thresholds set at ₦50 billion for local firms and €750 million for multinationals.
- 5% annual tax credit for companies undertaking eligible projects in priority sectors.
- Permission for firms transacting in foreign currency to pay taxes in naira, using official exchange rates.
The Nigeria Tax Act and Nigeria Tax Administration Act will take effect on January 1, 2026, while the Nigeria Revenue Service Act and Joint Revenue Board Act became effective immediately from June 26.
“These reforms aim to simplify Nigeria’s tax system, support small businesses, attract investment, and strengthen fiscal stability, in line with President Tinubu’s Renewed Hope Agenda to diversify revenue away from oil,” the statement added.
