The Federal Government has officially released Nigeria’s new tax reform laws in the government gazette, following President Bola Tinubu’s assent on June 26.
The announcement was made in a statement signed on Wednesday by Kamorudeen Yusuf, the President’s Personal Assistant on Special Duties.
The reforms introduce 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.
According to the gazette, small businesses with turnover below ₦100 million and assets under ₦250 million will be exempt from corporate tax. In addition, the corporate tax rate for large firms may be reduced from 30% to 25% at the President’s discretion. New provisions also include a ₦50 billion threshold for local firms and €750 million for multinationals under the top-up tax regime, as well as a 5% annual tax credit for eligible priority-sector projects. Companies trading in foreign currency will now be allowed to pay taxes in naira at official exchange rates.
The Nigeria Tax Act and Nigeria Tax Administration Act will come into effect on January 1, 2026, while the Nigeria Revenue Service Act and Joint Revenue Board Act took effect immediately on June 26.
The statement emphasized that the reforms are designed to simplify Nigeria’s tax structure, provide relief for small businesses, attract investment, and enhance fiscal stability, in line with President Tinubu’s Renewed Hope Agenda to diversify revenue sources beyond oil.
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