Ola Akinwunmi

The Nigerian Senate is set to pass President Bola Tinubu’s tax reform bills today, Tuesday, March 25, 2025. This development follows the House of Representatives’ approval of the same four bills two weeks ago.

Two prominent senators, speaking anonymously due to authorization restrictions, confirmed the impending approval. One senator noted, “This should have been done last week had the Rivers State of emergency issue not come up. But certainly, the four bills will be approved tomorrow.

The four bills under consideration are:

Nigerian Tax Bill 2024: Aims to consolidate and simplify the legal frameworks related to taxation in Nigeria.

Tax Administration Bill 2024: Seeks to provide a clear and concise legal framework for all taxes in the country, reducing disputes.

Nigeria Revenue Service Establishment Bill 2024: Proposes the establishment of the Nigeria Revenue Service, replacing the Federal Inland Revenue Service (FIRS).

Joint Revenue Board Establishment Bill 2024: Intends to create a Joint Revenue Board, the Tax Appeal Tribunal, and the Office of the Tax Ombudsman to harmonize and coordinate revenue administration in Nigeria.

These bills have been the subject of extensive debate and public hearings. In November 2024, the Senate passed them for a second reading, during which Senate Majority Leader Bamidele Opeyemi highlighted that the proposed legislation would mark a paradigm shift in tax administration in Nigeria, benefiting Nigerians.

However, the bills have faced opposition from various quarters. Senator Ali Ndume raised concerns about potential contradictions with certain provisions of the Constitution and emphasized the need for broader consultations with stakeholders, including governors and traditional rulers.

Additionally, the Northern Governors’ Forum and the National Economic Council have expressed reservations about aspects of the tax reforms, particularly the proposed changes to the Value Added Tax (VAT) derivation model, which they argue could disadvantage certain regions.

Despite these controversies, the Senate’s anticipated approval today will pave the way for the bills to be transmitted to President Tinubu for his assent, aiming to strengthen Nigeria’s fiscal institutions and align with the administration’s broader development goals.

Ola Akinwunmi

The Nigerian Senate is set to pass President Bola Tinubu’s tax reform bills today, Tuesday, March 25, 2025. This development follows the House of Representatives’ approval of the same four bills two weeks ago.

Two prominent senators, speaking anonymously due to authorization restrictions, confirmed the impending approval. One senator noted, “This should have been done last week had the Rivers State of emergency issue not come up. But certainly, the four bills will be approved tomorrow.

The four bills under consideration are:

Nigerian Tax Bill 2024: Aims to consolidate and simplify the legal frameworks related to taxation in Nigeria.

Tax Administration Bill 2024: Seeks to provide a clear and concise legal framework for all taxes in the country, reducing disputes.

Nigeria Revenue Service Establishment Bill 2024: Proposes the establishment of the Nigeria Revenue Service, replacing the Federal Inland Revenue Service (FIRS).

Joint Revenue Board Establishment Bill 2024: Intends to create a Joint Revenue Board, the Tax Appeal Tribunal, and the Office of the Tax Ombudsman to harmonize and coordinate revenue administration in Nigeria.

These bills have been the subject of extensive debate and public hearings. In November 2024, the Senate passed them for a second reading, during which Senate Majority Leader Bamidele Opeyemi highlighted that the proposed legislation would mark a paradigm shift in tax administration in Nigeria, benefiting Nigerians.

However, the bills have faced opposition from various quarters. Senator Ali Ndume raised concerns about potential contradictions with certain provisions of the Constitution and emphasized the need for broader consultations with stakeholders, including governors and traditional rulers.

Additionally, the Northern Governors’ Forum and the National Economic Council have expressed reservations about aspects of the tax reforms, particularly the proposed changes to the Value Added Tax (VAT) derivation model, which they argue could disadvantage certain regions.

Despite these controversies, the Senate’s anticipated approval today will pave the way for the bills to be transmitted to President Tinubu for his assent, aiming to strengthen Nigeria’s fiscal institutions and align with the administration’s broader development goals.