The Executive Chairman of the Nigeria Revenue Service (NRS), Zacch Adedeji, has defended the newly implemented tax reforms, insisting that much of the public backlash is driven by political agendas rather than genuine concerns about the law.
Adedeji spoke in an interview on Arise TV on Sunday, clarifying key aspects of the reforms and addressing widespread anxiety around new tax obligations.
Naijaonpoint reports that Adedeji explained the distinctions among tax categories, income tax, transactional taxes such as VAT, and withholding tax.
“Many Nigerians pay as you earn. In addition, the banks will collect VAT. They have to fill forms and provide documentation.
“Transactional taxes, like VAT, apply to everyone irrespective of income. Income taxes focus on earnings. But paying income tax does not exempt you from transactional taxes,” he said.
On withholding tax, he added, “It is just tax that you’ve paid in advance based on the income you’ve generated. So even if you are on PAYE, you still pay transactional taxes.”
Adedeji said these structures are designed to streamline revenue collection rather than impose undue burdens on citizens.
Responding to concerns about timing and implementation, he noted that the reforms were passed by the National Assembly in June 2025 and only took effect on January 1 after a six‑month adjustment period.
“The law has been in effect since June when the President assented to it. What started on January 1 was simply the implementation of rates after a six‑month adjustment period. This is standard practice in Nigerian tax policy,” he said.
Adedeji dismissed claims that the reforms could be weaponised against political opponents ahead of the 2027 general elections.
“The Nigeria Revenue Service is Nigeria, not a Political Revenue Service. There is no way we would do that. We are patriotic civil servants working for the progress and prosperity of Nigeria,” he stated.
On calls to suspend the law, he warned against politicising the debate.
“When people say they want to suspend the law, what will happen to Nigeria? Nobody can suspend the law. You need to see the motive behind these statements,” he said, linking some protests to efforts to frustrate the benefits of the reform.
The NRS boss highlighted provisions aimed at reducing the tax burden on the poor, including exemptions from certain levies.
“One focus of this bill is to give relief to the poor. More than 95% of the poor are totally exempted. We removed VAT on all food items and transportation.
“When you look at the net benefit, the poor are the most positively affected by this reform,” he explained.
Addressing fears that tax authorities would monitor personal bank accounts, Adedeji clarified, “No tax authority, whether state or federal, will pry into your bank account. Concerns about narration and additional charges are misinformation. We do not monitor personal transfers beyond what the law requires.”
Adedeji reminded Nigerians of their civic responsibilities in tax compliance.
“Doing filing is your civic responsibility. We are here to help, not to enforce the law as police officers,” he said, stressing that the goal is to promote transparency and accountability.
On the broader objectives of the reforms, the NRS chairman said they represent a generational opportunity to fortify Nigeria’s fiscal framework.
“This reform is a one‑generation opportunity to set a fiscal standard that will sustain prosperity for the country. We are improving revenue administration, strengthening compliance, and ensuring that government expenditure is aligned with the nation’s development priorities,” he said.
Adedeji maintained that while resistance may persist during the early stages of implementation, the long‑term benefits, especially for low‑income earners and the formalisation of the revenue system, will ultimately prevail.