Oyedele: Businesses Can Claim N3.4tn Input VAT Credits Under Nigeria's Landmark 2026 Tax Reforms

Contributing sentiments towards policy:

68% : The Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, Taiwo Oyedele, has disclosed that businesses will be able to claim about N3.4 trillion in input tax credits under Nigeria's new tax laws, describing tax reforms as a fundamental reset of the economy and the country's social contract.
62% : "Furthermore, one of the most far-reaching elements of the tax reform package is the reworking of how Value Added Tax applies to everyday necessities.
61% : Recently, an elder statesman, Stanley Orosanye, and a founder of one of the top three banks in Nigeria, called me expressing their joy that President Bola Ahmed Tinubu had the political will to push the tax reforms through.
60% : Input Value Added Tax (VAT) credit is the VAT paid by a business on goods and services used in its operations.
57% : Taiwo Oyedele says new 2026 tax reforms enable businesses to claim N3.4 trillion input VAT credits, easing tax burdens.
55% : This is what the government is giving back to businesses next year by way of input credit." He noted that beyond VAT, the reforms cover corporate taxation, capital gains, and compliance processes, all designed to incentivise investment, encourage formalisation, and strengthen Nigeria's fiscal stability.
52% : He described the Nigeria Tax Reform Acts as the most critical economic development in Nigeria since the Pension Reform Act signed into law by the former President Olusegun Obasanjo's government.
50% : Oyedele, who explained that the new tax framework, set to commence in January 2026, comes at a critical time, noted that Nigeria narrowly avoided complete economic collapse in 2023.
45% : "These reforms are more than just taxes.
44% : " Oyedele also pushed back against claims that the reforms expanded the tax burden or relied excessively on borrowing.
42% : Under the new law, companies can deduct this VAT from the amount they charge customers and remit to the government, thereby reducing their overall tax burden and eliminating multiple taxation along the value chain.
22% : He noted that several controversial levies, including excise duties on airtime and data, the cybersecurity levy, carbon taxes on plastics, and the four per cent import levy, have been scrapped.

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