By Ayomide Otitoju
Chairman of the National Tax Policy Implementation Committee (NTPIC), Joseph Tegbe, has said Nigeria’s new tax regime is designed to reduce the financial burden on workers and small businesses while strengthening fiscal sustainability and improving the country’s economic competitiveness.
Tegbe made the remarks at the BusinessDay Tax Reform Conference 2026 themed “Navigating the New Tax Regime: What It Means for Your Wallet.” He described the reforms as the most comprehensive overhaul of Nigeria’s tax system in decades, aimed at simplifying taxation, improving fairness and encouraging economic growth.
According to him, the reforms are anchored on four major legislations: the Nigeria Tax Act 2025, Nigeria Tax Administration Act 2025, Nigeria Revenue Service (Establishment) Act 2025, and the Joint Revenue Board of Nigeria (Establishment) Act 2025.
Under the new framework, individuals earning less than ₦800,000 annually will not pay personal income tax, while workers will be eligible for rent relief of up to 20 percent, capped at ₦500,000, among other benefits.
Small businesses are also expected to benefit, as companies with annual revenues below ₦100 million and assets under ₦250 million will be exempt from Company Income Tax. In addition, nano-enterprises earning below ₦12 million annually will not be required to pay income tax.
However, Tegbe stressed that individuals and businesses within the exempted thresholds must still properly document their earnings and file tax returns.
“These reforms are designed to make taxation simpler, fairer and more predictable for Nigerians,” he said. “For most workers and small businesses, the new regime means paying the same or even lower taxes while operating within a more transparent system.”
He added that the reforms would also strengthen tax administration through improved coordination among institutions such as the Nigeria Revenue Service, the Joint Revenue Board of Nigeria, the Tax Appeal Tribunal and the Office of the Tax Ombud, alongside accelerated digitalisation of tax processes.
Tegbe noted that beyond boosting revenue efficiency, the reforms are intended to support enterprise, attract investment and drive long-term economic growth.
“The ultimate objective is to build a tax system that works for both government and citizens — one that supports development while protecting the pockets of ordinary Nigerians,” he said.
Other dignitaries at the conference included Executive Secretary of the Joint Revenue Board, Olusegun Adesokan; Acting Executive Chairman of the FCT Internal Revenue Service, Michael Ango; economist Uche Uwaleke; and policy expert Sam Amadi, among others.
