Adedeji Explains 2025 Tax Laws, Says Reforms Target Fairness, Not Higher Burden

Adedeji Explains 2025 Tax Laws - Reforms Target Fairness, Not Higher Burden

In a recent appearance on TVC News’ flagship programme Journalists’ Hangout, Zacch Adedeji, Chairman of the Nigeria Revenue Service (NRS), provided a comprehensive breakdown of the 2025 New Tax Laws. His remarks sought to dispel widespread concerns and clarify misconceptions about the reforms, emphasizing that the new framework is designed to promote fairness, transparency, and efficiency rather than impose additional financial burdens on citizens.

Adedeji explained that the reforms aim to harmonize Nigeria’s complex tax system by eliminating duplication and multiple taxation across federal, state, and local government levels.

According to him, the new laws are not about raising taxes but about ensuring that individuals and businesses pay the correct amount due. He stressed that the guiding principle is “to tax right, not to tax more,” underscoring that the reforms are intended to create order in the system and prevent taxpayers from being charged multiple times for the same economic activity.

The NRS Chairman also addressed allegations that the agency was being used as a political tool, firmly rejecting such claims. He reiterated that the Nigeria Revenue Service operates as a professional and institutional body, guided strictly by law rather than political interests. This clarification was particularly important given the skepticism among some stakeholders who feared that the reforms might be politically motivated.

Responding to public concerns about rising costs, Adedeji dismissed suggestions that the high price of airline tickets in December was linked to the new tax framework. He explained that such increases were driven by market forces and seasonal demand, not taxation. This statement was part of his broader effort to separate economic realities from misconceptions about the tax reforms.

On compliance, Adedeji warned that tax evasion would attract stiffer consequences under the new legal framework. He noted that the system now has improved tracking, enforcement mechanisms, and clearer penalties, making avoidance more costly than compliance. This, he argued, would strengthen government capacity to fund infrastructure, social services, and economic development without resorting to excessive borrowing.

The reforms, according to Adedeji, are expected to yield long-term benefits by fostering trust between citizens and the government. Improved compliance and streamlined taxation will enhance revenue generation, enabling the government to meet its obligations more effectively. His appearance on Journalists’ Hangout formed part of ongoing public engagement efforts by the NRS to build understanding and confidence in the new tax regime ahead of its full-scale implementation.

Adedeji’s message was clear: the 2025 tax reforms are not about burdening Nigerians with higher taxes but about creating a fairer, more transparent, and efficient system that strengthens national institutions and supports sustainable development.