By Progress Godfrey

ABUJA — Experts have said that Nigeria’s new tax regime will boost economic growth, increase government revenue, and ease the tax burden on low-income earners and small businesses.

The experts said this at the 2026 BusinessDay Tax Reform Conference in Abuja, held on Thursday and themed “Navigating the New Tax Regime: What It Means for Your Wallet.” The event brought together policymakers, economists, business leaders, academics and tax professionals to examine the implications of the reforms introduced by President Bola Tinubu in 2025.

Chairman of the National Tax Policy Implementation Committee, Joseph Tegbe, said the reforms were aimed at simplifying the country’s tax structure, expanding the tax base and improving compliance, noting that Nigeria’s tax-to-GDP ratio has historically ranged between six per cent and 10 per cent, far below levels seen in countries such as South Africa and Kenya.

“For Nigeria, it was between 6% and 10% of GDP. And to put it in context, South Africa collects about 26% of GDP, the tax issue, compared to 6% in Nigeria. Kenya collects about 16%,” he said.

He added: “The reform provides tremendous benefits to Nigerian taxpayers, individuals and businesses alike. A few examples have been mentioned, but let me state them again. Most Nigerians, most persons, have done different models to have factualities. But we’ve seen, in 95% of cases, most persons will pay the same or even lower taxes going forward.”

He said the reforms consolidate numerous fragmented tax laws into four key legislations, including the Nigeria Tax Act, Nigeria Tax Administration Act, Nigeria Revenue Service Act and the Joint Revenue Board Act, to simplify compliance and eliminate multiple taxation.

He added that the new structure was also designed to support investment and job creation by creating clearer rules and incentives for businesses operating in Nigeria.

Earlier in his remarks, Publisher of BusinessDay Media Limited, Frank Aigbogun who was represented by Managing Editor for the Federal Capital Territory John Osadolor, said the conference was organised to provide clarity on the new tax reforms and help businesses understand their implications.

Aigbogun said: “Nigeria, Africa’s largest economy, is currently at a critical juncture in its development trajectory and is also gradually preparing for the next general elections in 2027. Our country faces significant challenges on several fronts, including infrastructure deficits, security concerns, and regulatory uncertainties, among others. This event, therefore, has been put together by BusinessDay Media Limited to help provide clarity where there are doubts, remove misconceptions around the tax reforms, and ultimately make compliance easier—especially for the business community.”

Also speaking, President of the Capital Market Academics of Nigeria, FCMA, Professor Uche Uwaleke emphasised that by expanding exemptions for low-income earners, providing rent reliefs, and shielding pensions and healthcare contributions from undue tax burdens, the reforms aim to leave more disposable income in citizens’ wallets.

He also highlighted that entrepreneurs and small business owners stand to benefit significantly, with businesses earning up to N100 million in turnover enjoying exemptions from Companies Income Tax, Capital Gains Tax, and VAT.