Taiwo Oyedele: FG to forfeit N1.4trn in 2026 through 5% cut in CIT

Contributing sentiments towards policy:

60% : Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, Mr. Taiwo Oyedele, disclosed this on Friday during a media workshop on the new tax laws, explaining that the move is deliberate and aimed at stimulating economic growth rather than introducing new taxes.
60% : Nigeria is implementing a comprehensive tax overhaul, with the main provisions of four new tax reform acts (collectively referred to as "the Acts") becoming effective on January 1, 2026.
57% : He noted that the same zero-rating principle now applies to food, education, and healthcare, sectors considered essential to household welfare.
55% : The Federal Government will effectively give up about N1.4 trillion in revenue in 2026 by reducing the corporate income tax (CIT) rate from 30% to 25%, as part of its newly consolidated tax reform framework.
55% : If I'm unemployed, you can have the best personal income tax law in the world, but you can't collect tax from me," he said.
53% : According to Oyedele, data from the Federal Inland Revenue Service (FIRS) shows that corporate income tax collections stood at about N8.6 trillion in 2024.
53% : Beyond the CIT reduction, Oyedele said businesses will benefit even more from changes to the Value Added Tax (VAT) regime, which will take effect from January 2026.
48% : Oyedele said the tax reforms are anchored on the belief that sustainable government revenue can only come from economic expansion, not higher tax rates.
42% : According to him, the new tax laws intentionally avoid introducing new levies, instead focusing on removing bottlenecks and reducing the cost of doing business in Nigeria.
41% : He argued that a growing economy naturally widens the tax base by creating jobs and supporting businesses, while excessive taxation only deepens economic stagnation.

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