Government Releases Implementation Framework for 2025 Tax Reforms

The Federal Government has outlined the general guidelines for implementing the Tax Acts 2025, which will oversee the transition from the old tax laws to the new framework starting January 1, 2026, according to a statement by the Minister of Finance and Coordinating Minister of the Economy, Mr. Taiwo Oyedele.

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A major aspect of the guidelines, which were issued on Thursday in Abuja, is that tax returns for accounting periods ending before January 1, 2026, will be filed in accordance with the repealed tax laws, while returns due from January 1, 2026, onward will be governed by the new tax framework.

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The guidelines serve as a guide for taxpayers, tax practitioners, revenue authorities, and other stakeholders, providing direction on how to address various issues arising from the transition from the old regime to the new framework.

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As stated in the document, the Tax Acts 2025, comprising the Nigeria Revenue Service (Establishment) Act, the Nigeria Tax Act, the Nigeria Tax Administration Act, and the Joint Revenue Board (Establishment) Act, will apply from their respective commencement dates, including January 1, 2026, for the Nigeria Tax Act, 2025.

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Tax liabilities, assessments, audits, investigations, disputes, and enforcement actions related to periods prior to January 1, 2026, will be treated under the repealed tax laws, as outlined in the guidelines.

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The guidelines also cover the treatment of income taxes, transaction taxes, development levies, tax incentives, exemptions, record-keeping obligations, and transactions spanning both the old and new tax regimes.

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Existing tax incentives and exemptions granted under the repealed laws will remain valid until their expiration dates, while new applications and pending requests will be considered under the provisions of the Tax Acts 2025, according to the guidelines.

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Mr. Taiwo Oyedele stated that the guidelines provide a framework for managing transitional issues while ensuring the new laws are not applied retrospectively, describing the enactment of the Tax Acts 2025 as a significant milestone in Nigeria’s tax reform programme.

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The Minister noted that the guidelines set out how existing obligations, ongoing matters, and future transactions will be treated under the new regime, and are anchored on three key principles: clarity, fairness, and administrative certainty.

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The guidelines aim to promote uniform implementation and support effective administration across the Nigeria Revenue Service, State Internal Revenue Services, the FCT Internal Revenue Service, Local Government Revenue Committees, tax practitioners, and taxpayers nationwide, according to the Minister.

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The government has reaffirmed its commitment to building a transparent, efficient, and modern tax system that supports economic growth, strengthens revenue administration, encourages voluntary compliance, and improves Nigeria’s investment climate.