The Chairman of the Federal Inland Revenue Service (FIRS), Zacch Adedeji has stated that the tax reforms being executed by the Federal government will not introduce new taxes or increase the tax rate for existing ones.
Adedeji disclosed this during an interactive session with the Senate Committee on Finance in Abuja on Tuesday.
He reassured Nigerians that the ongoing tax reforms would not involve the introduction of new taxes or any increases to existing ones.
He said, “Tax reform will not introduce any tax or increase the percentage of the existing ones but it will reduce the number of taxes being paid by Nigerians.
“No agency will be merged in the process of carrying out the reform and no job will be taken from anybody.
“The tax reform basically seeks to increase the simplicity and efficiency of tax administration in Nigeria,”
Adedeji stated that four executive bills had already been submitted to both chambers of the National Assembly to formalize the tax reform.
He explained that the bills include the Nigeria Tax Bill, Nigeria Tax Administration Act (amendment) Bill, Nigeria Revenue Service Bill, and the Joint Revenue Board (Establishment) Bill.
He noted that once passed, the bills would help harmonize the country’s multiple tax laws, driving efficiency and modernization.
According to him, the legislation would simplify tax laws, create synergy among relevant agencies, and enhance transparency in revenue collection. Additionally, the bills aim to align with international standards and expand Nigeria’s tax base.
In response to a question about why the Federal Inland Revenue Service (FIRS) would be renamed the Nigeria Revenue Service (NRS) in one of the proposed bills, Adedeji explained that the current name does not fully reflect the agency’s scope of services.
In his remarks, the Chairman of the committee, Sen. Sani Musa, stated that the purpose of the interactive session was for the Federal Inland Revenue Service (FIRS) to brief the committee on the objectives of the tax reform bills.
“Tax reforms are central to the government’s agenda and require meaningful contributions from all stakeholders,” Musa said.
He praised the FIRS leadership for achieving the revenue targets set for the fiscal year and encouraged them to exceed those targets.