The Federal Government has officially gazetted Nigeria’s new tax reform laws, following President Bola Tinubu’s assent on June 26, 2025.
According to a statement signed on Wednesday by the President’s Personal Assistant on Special Duties, Kamorudeen Yusuf, the reforms consolidate four new legislations: the Nigeria Tax Act 2025, Nigeria Tax Administration Act 2025, Nigeria Revenue Service (Establishment) Act 2025, and the Joint Revenue Board (Establishment) Act 2025.
One of the key provisions exempts small businesses with an annual turnover of less than ₦100 million and assets below ₦250 million from corporate tax obligations.
The gazette further outlined that “the corporate tax rate for large firms may be reduced from 30 percent to 25 percent at the discretion of the President.”
Other highlights include the introduction of a 5 percent annual tax credit for eligible projects in priority sectors, as well as a “top-up tax threshold” set at ₦50 billion for local companies and €750 million for multinational corporations.
In addition, the reforms now allow companies that transact in foreign currency to remit taxes in naira at the official exchange rate.
While the Nigeria Tax Act and Nigeria Tax Administration Act are scheduled to take effect from January 1, 2026, the Nigeria Revenue Service Act and Joint Revenue Board Act became operational immediately after the President’s assent on June 26, 2025.
Explaining the rationale behind the reforms, Yusuf said the measures were designed to simplify tax compliance, attract investment, and reduce reliance on crude oil revenues.
“These reforms aim to simplify Nigeria’s tax system, support small businesses, and strengthen fiscal stability. They align with President Tinubu’s Renewed Hope Agenda to diversify revenue away from oil,” the statement read.