By Obas Esiedesa, Abuja

The Transmission Company of Nigeria (TCN) has constituted a committee to assess the impact of the new tax laws on employees’ salaries and recommend measures to protect staff interests while ensuring compliance with the law.

The committee was inaugurated during a tax sensitisation programme for staff at the company’s corporate headquarters in Abuja, where management and officials of the Federal Capital Territory Internal Revenue Service (FCT-IRS) explained the implications of the Nigerian Tax Administration Act 2026, which took effect on January 1.

Speaking at the event, TCN’s Executive Director, Finance and Accounts, Mr. Chuks Ochijie, said the committee would examine how the new Pay As You Earn (PAYE) regime affects salary administration, staff benefits, allowable deductions, remittance obligations and overall tax compliance.

According to him, the review is intended to ensure that employees are not unfairly affected while the company fully complies with the provisions of the new law.

“We have constituted a committee to review the new tax law on PAYE impact assessment on staff salary. The committee will examine the implications of the law and advise on measures that may protect staff interest while maintaining compliance,” he said.

Ochijie noted that the sensitisation programme was organised to address concerns arising from the implementation of the new tax regime and to dispel misconceptions among employees.

He stressed that tax compliance extends beyond the finance department, describing it as a governance obligation and an important component of institutional risk management.

According to him, poor understanding or administration of PAYE could expose both the company and its workers to avoidable disputes, penalties, interest charges and back-duty assessments.

He assured employees that the exercise was designed to provide clarity on the legal provisions and identify legitimate areas where staff benefits could be treated within the limits of the law.

Representing the Managing Director/Chief Executive Officer, Engr. Sule Ahmed Abdulaziz, the Executive Director, Human Resources and Corporate Services, Mrs. Biodun Afolabi-Fadahunsi, urged employees to take advantage of the programme to better understand the evolving tax policies and make informed financial decisions.

She said the sensitisation was timely, adding that increased awareness would help staff comply with the law while understanding their rights and obligations.

Delivering the technical presentation, the Tax Controller for Ministries, Departments and Agencies at the FCT Internal Revenue Service, Ms. Fatima A.G. Abubakar explained that the new tax law introduced a uniform tax administration framework and that taxpayers would generally pay less tax than under the previous regime.

She said tax jurisdiction is now determined by an individual’s place of residence and where the person spends most of the time working.

Abubakar said all taxable persons are required to register and obtain a Taxpayer Identification Number (TIN), while taxable income now covers salaries, professional and side-hustle earnings, rental income, royalties, income from digital assets and cryptocurrency, as well as income earned in Nigeria by non-residents.

She emphasised that the responsibility for paying tax rests with individuals rather than employers and warned that failure to comply with the law would attract statutory penalties.

Chairman of the newly constituted committee, Mr. Emenogu Chidi, Assistant General Manager, Audit Field, said the team would develop modalities for implementing the new tax law in a manner that benefits both the government and TCN employees.

He added that the committee would also create awareness among workers to improve understanding of the reforms and minimise concerns over the implementation of the new tax regime.