The Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, says Nigeria's revenue challenge lies in expanding the country's tax net rather than increasing tax rates, stressing that the government needs more taxpayers—not higher taxes—to improve revenue generation.
Oyedele spoke Thursday in Abuja while receiving the leadership of the Chartered Institute of Taxation of Nigeria (CITN) during a courtesy visit to the Federal Ministry of Finance following the institute's maiden National Tax Awareness Day.
The awareness campaign marked one year since President Bola Tinubu signed Nigeria's Tax Reform Acts into law on June 26, 2025. Activities included a road walk, taxpayer sensitisation at Wuse Market and a visit to the headquarters of the Nigerian Revenue Service (NRS).
Commending the institute for supporting the Federal Government's tax reform agenda, Oyedele said public misunderstanding of taxation remains one of the biggest barriers to voluntary compliance.
According to him, many Nigerians still believe tax reforms are designed simply to increase the amount of money government collects from citizens.
"We are still not getting enough revenue from taxes. It is not about increasing taxes, but making sure that those who are supposed to pay taxes pay. We want to promote fairness in tax administration," he said.
Oyedele said building a fair and efficient tax system would have a transformative impact on national development and urged the institute to institute annual awards recognising Nigeria's most tax-compliant individuals and businesses.
Earlier, the 17th President of the Chartered Institute of Taxation of Nigeria, Innocent Ohagwa, said the National Tax Awareness Day was introduced to bridge information gaps surrounding Nigeria's tax reforms and encourage voluntary compliance.
He noted that despite one year of implementation, many taxpayers remain uncertain about the changes and how they affect businesses and individuals.
"The laws have been signed, implementation has begun, yet many taxpayers and stakeholders are still grappling with what has changed, what remains the same and how these provisions affect their businesses and personal affairs," he said.
Ohagwa said misconceptions had created unnecessary anxiety, with some Nigerians believing the reforms introduced new taxes across all sectors of the economy.
He explained that the reforms instead provide several incentives, including rent relief of up to 20 percent of annual rent paid, capped at ₦500,000, and zero-rated Value Added Tax on essential goods and services such as food, education, healthcare, electricity transmission and non-oil exports.
He added that businesses with annual turnover not exceeding ₦100 million and fixed assets of not more than ₦250 million are exempt from Companies Income Tax, Capital Gains Tax and the Development Levy.
"This means thousands of small businesses can now reinvest in growth, job creation and innovation," he said.
Ohagwa also highlighted tax incentives for agriculture, aquaculture, dairy production, cocoa processing and animal feed manufacturing, as well as tax credits available under the Economic Development Incentive.
He reminded taxpayers that compliance remains a legal obligation and urged individuals and businesses to obtain Tax Identification Numbers, maintain proper records and file accurate tax returns on time.
Following the market sensitisation campaign, the CITN delegation visited the Nigerian Revenue Service headquarters, where officials reaffirmed their commitment to strengthening tax awareness and voluntary compliance.
Receiving the delegation on behalf of the Executive Chairman of the NRS, Dr. Zacch Adedeji, the Executive Director of Finance and Corporate Services, Mohammed Abubakar, said the tax reforms marked the beginning of a new era in Nigeria's tax administration built on fairness, transparency, efficiency and service delivery.
He added that the NRS would continue deploying digital platforms, including Rev360, to improve tax administration while collaborating with professional bodies to deepen taxpayer education and boost voluntary compliance.
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