Oyedele Finally Admits Errors in Nigeria’s New Tax Laws

Nigeria’s Minister of State for Finance, Taiwo Oyedele, has admitted that the country’s newly introduced tax reform laws contain errors, stating that steps are already in motion to resolve the issues.

Speaking at a fireside session during the 2026 annual conference of the Nigerian Bar Association (NBA) Section on Legal Practice, Oyedele said discrepancies emerged during the drafting and legislative process. The event focused on translating policy into effective implementation of the new tax framework.

A statement from the Fiscal Reforms Committee confirmed that the minister attributed the inconsistencies to manual processes and the multiple stages involved in reviewing the legislation. He urged the public to await the outcome of an ongoing legislative review examining the discrepancies.

Oyedele said the identified issues would be addressed through a proposed Finance Bill aimed at correcting the errors. He also called for a more transparent legislative system, where all versions of proposed laws are accessible to the public.

He maintained that enforcement of the tax reforms would follow clear guidelines and would not be applied arbitrarily. According to him, the framework is built on transparency and fairness, with an emphasis on aligning implementation with policy intent.

The minister noted that understanding the purpose behind tax laws is essential for proper interpretation, rather than focusing solely on their written provisions.

Highlighting longstanding challenges in Nigeria’s tax system, Oyedele pointed to inconsistencies between personal and corporate taxation, which he said have discouraged businesses from formalising their operations. He explained that the reforms aim to improve consistency, reduce discretionary practices, and encourage compliance.

He also warned that unpredictable policy changes in the past have weakened investor confidence, stressing that stability is necessary to attract and retain investment.

On tax equity, Oyedele said the reforms are designed to shield low-income earners and small businesses from excessive burden. He noted that a significant portion of Nigeria’s workforce earns modest incomes, making aggressive taxation impractical.

He added that the new framework eliminates minimum tax obligations for companies operating at a loss, describing the previous system as one that effectively taxed capital rather than profit.

Oyedele further called for better use of public revenue, observing that Nigeria continues to lag behind comparable economies in tax collection efficiency.

The minister’s remarks come amid concerns over discrepancies between the versions of the tax laws passed by the National Assembly and those later published. The issue was first raised in December 2025 by a member of the House of Representatives, prompting the formation of a special committee to investigate and reconcile the differences.