Echotitbits – Nigeria News

Category: Taxation

  • Sokoto begins strict enforcement of monthly tax filing with penalties for defaulters

    Sokoto begins strict enforcement of monthly tax filing with penalties for defaulters

    Figures cited by Punch show Sokoto State’s revenue service is pushing full compliance on monthly tax filings for taxable persons starting January 2026, warning that penalties will apply for non-compliance.

    The policy is positioned as a compliance reset—bringing more individuals and businesses into regular filing, tightening documentation, and strengthening the state’s ability to plan and enforce revenue rules.

    The enforcement angle extends to public contracting, where tax registration is expected to become a more visible compliance gate for suppliers.

    For SMEs and informal operators, the practical issue is capacity: monthly filing needs simple processes and predictable treatment to avoid turning compliance into harassment.

    Punch also highlighted an enforcement detail that statutory bodies or companies awarding contracts to unregistered persons risk a “₦5 million” penalty. Another Punch recap echoed the state IRS announced “full enforcement of compulsory monthly tax filings.”

    Echotitbits take: This succeeds only if enforcement is paired with ease—online filing, helpdesks, clear templates, and dispute resolution. Watch whether the net broadens or the pressure just shifts to already-compliant taxpayers.

    Source: Punch – https://punchng.com/sokoto-irs-begins-enforcement-of-compulsory-monthly-tax-filings/  January 7, 2026
    Punch January 7, 2026

    Photo Credit: Punch Newspapers

  • Federal High Court Denies Bail to Bauchi Finance Commissioner in Terror Probe

    Federal High Court Denies Bail to Bauchi Finance Commissioner in Terror Probe

    According to The Guardian, Justice Emeka Nwite of the Federal High Court in Abuja has refused bail to Yakubu Adamu, the Bauchi State Commissioner for Finance, and three others facing charges of terrorism financing and money laundering. The court’s decision follows an arraignment on a 10-count charge brought by the Economic and Financial Crimes Commission (EFCC). The EFCC has dismissed claims by Governor Bala Mohammed that the trial is a political witch-hunt. Wilson Uwujaren, the commission’s Director of Public Affairs, stated that the agency operates independently and is not acting on political instructions, despite the governor’s allegations that he is being targeted for refusing to defect to the ruling party. The case was also covered by Premium Times and Daily Post. Premium Times detailed that the ‘defendants were arraigned on Wednesday, December 31, 2025,’ while Daily Post reported that the court has ‘adjourned the case till January 6’ for further hearing on the substantive matter.

    Echotitbits take: This case is a high-stakes legal battle that tests the independence of the EFCC. If the prosecution proves terrorism financing, it could have massive political ramifications for the Bauchi state government. Watch for the evidence presented in the next hearing to see if the ‘political harassment’ narrative holds weight.

    Source: ThePunch  – https://punchng.com/terror-financing-court-denies-bauchi-commissioner-bail-cites-national-security/ January 6 2026

    Photo Credit: ThePunch

  • New Tax Regime Exempts Nigerians Earning Below ₦800,000 Annually

    New Tax Regime Exempts Nigerians Earning Below ₦800,000 Annually

    According to Cowrywise Financial Blog, the new Nigerian Tax Act has officially come into full effect as of January 1, 2026, introducing a 0% tax rate for individuals earning ₦800,000 or less per year. This reform is part of a broader strategy to provide ‘social cushioning’ for low-income earners while progressively increasing the tax burden on high-net-worth individuals and large corporations. The new brackets peak at 25% for those earning over ₦150 million.

    The act also introduces significant relief for small businesses, with the ‘Development Levy’ now only applying to companies with a turnover exceeding ₦100 million. Additionally, the threshold for tax-exempt redundancy pay has been increased from ₦10 million to ₦50 million, providing a larger safety net for workers facing job losses in a fluctuating economy.

    Validating reports from Moniepoint and The Punch emphasize the focus on compliance. Moniepoint warned that ‘unregistered businesses will struggle to operate on digital platforms under the new code,’ while The Punch quoted the FIRS Chairman: ‘Our goal is a broader base, not necessarily higher rates for the common man.’

    Echotitbits take: This is the most significant overhaul of personal income tax in decades. While the ₦800k exemption is a win for the poor, the real challenge is the ‘informal sector’ capture. Watch for a massive push by the FIRS to link Bank Verification Numbers (BVN) and National Identity Numbers (NIN) to new ‘Tax IDs’ for petty traders this quarter.
    Source: TheCable – https://www.thecable.ng/key-concerns-and-benefits-as-the-new-tax-laws-take-effect/ January 5, 2026

    Photo Credit: TheCable

  • Senator says subsidy removal saves Nigeria ₦10tn yearly, urges patience with reforms

    Senator says subsidy removal saves Nigeria ₦10tn yearly, urges patience with reforms

    Figures cited by Punch show Ogun West senator Solomon Adeola says removing petrol subsidy is saving Nigeria over ₦10tn annually, arguing the funds can support economic predictability and infrastructure.

    Adeola also defended tax-law implementation, insisting the versions being rolled out align  what lawmakers passed and were not altered after signing.

    The remarks reflect the government’s broader reform narrative—short-term pain for medium-term fiscal stability—though citizens continue to weigh claims against lived inflation pressures.

    Echotitbits take: The savings claim will be tested by transparency: where exactly does the money go, and can Nigerians see it in services and inflation relief? Watch for audited baselines, monthly fiscal reporting, and how palliatives/infrastructure spending track against ‘savings’ narratives.

    Source: The Punch — January 3, 2026 (https://punchng.com/subsidy-removal-saving-nigeria-over-n10tn-annually-adeola/)

    The Punch January 3, 2026

    Photo Credit: The Punch

  • Reps release certified tax-law copies to end confusion as reforms roll out

    Reps release certified tax-law copies to end confusion as reforms roll out

    Figures cited by Punch show Nigeria’s House of Representatives has released certified true copies (CTCs) of the newly passed tax laws, aiming to resolve discrepancies and improve clarity for implementation.

    Lawmakers say the move is meant to align what stakeholders are seeing in circulation with the versions formally passed, so agencies, businesses, and professional bodies can reference the same texts.

    The Nation reported that federal lawmakers released the CTCs to “address discrepancy,” while THISDAY similarly reported the chamber’s push to ensure stakeholders rely on a single, authoritative version of the reforms.

    For taxpayers and businesses, the next test is whether clarified texts translate into consistent regulations, guidance notes, and enforcement without sudden interpretive shocks.

    Echotitbits take: For taxpayers and businesses, the next test is whether clarified texts translate into consistent regulations, guidance notes, and enforcement without sudden interpretive shocks.

    Source: Arise — January 4, 2026 (https://www.arise.tv/house-releases-certified-tax-acts-to-clarify-controversy-restore-public-confidence/)

    Arise January 4, 2026

    Photo Credit: Arise

  • New Federal Tax Laws Take Effect With Mandatory Electronic Receipting System

    New Federal Tax Laws Take Effect With Mandatory Electronic Receipting System

    In an update published by AllAfrica, the Federal Government of Nigeria officially commenced the implementation of new tax laws on January 1, 2026. A central feature of this reform is the rollout of a ‘Revenue Optimization Platform’ which makes electronic receipts the only legal proof of payment for federal services.

    The policy aims to eliminate cash leakages and ensure that all royalties, tariffs, and fees are remitted directly to the Treasury Single Account (TSA). This move is part of the broader 2026 Economic Growth Agenda which focuses on deepening domestic value creation and fiscal transparency.

    Vanguard highlighted the urgency of these reforms, noting that ‘revenue without trust is not reform’ and emphasizing the need for public accountability. Additionally, The Guardian reported that the Ministry of Finance is moving to ‘take over CBN development finance functions’ to better align fiscal policy with tax collection goals.

    Echotitbits take: Digitalizing the tax trail is a massive step toward curbing corruption in MDAs. The real test will be the ‘visibility’ the Ministry of Finance gains over daily collections and whether this leads to a tangible reduction in the budget deficit.

    Source: The Guardian — https://guardian.ng/news/new-tax-laws-to-take-effect-jan-1-as-scheduled-presidency/
    The Guardian January 3, 2026

    Photo Credit: The Guardian

  • Tinubu insists new national tax laws start January 1 despite calls for delay over “gazette” dispute

    Tinubu insists new national tax laws start January 1 despite calls for delay over “gazette” dispute

    2026-01-02 09:00:00
    In a report filed by Reuters, President Bola Tinubu said Nigeria will proceed with implementing new tax laws from January 1, 2026, despite criticism and calls for delay tied to disputes over the gazetted text versus what lawmakers passed.

    The dispatch notes that opponents have alleged unauthorized insertions and warned about expanded enforcement powers, while the presidency argued there was no substantial issue that should pause the reforms and described the change as a major fiscal reset.

    The controversy is unfolding alongside broader reforms, with the government leaning on a tax overhaul as a revenue and efficiency lever.

    Validation: TheCable reported legislative voices urging suspension until allegations are resolved, noting the rollout is “scheduled to begin in January.” Reuters quoted Tinubu’s framing of the reform as a “once-in-a-generation” fiscal reset.

    Echotitbits take: The reform will be judged by whether it reduces friction (harmonisation, clarity, lower compliance pain) or becomes an enforcement brawl. Watch the implementation guidelines, dispute-resolution mechanics and whether businesses see predictable rules rather than surprise powers.

    Source: Reuters — 2025-12-30 (https://www.reuters.com/world/africa/nigeria-implement-new-tax-laws-january-1-despite-calls-delay-tinubu-says-2025-12-30/)
    Reuters 2025-12-30

    Photo Credit: Reuters

  • Kogi signs two revenue bills to align state collections with Nigeria’s new tax reform direction

    Kogi signs two revenue bills to align state collections with Nigeria’s new tax reform direction

    2026-01-02 09:00:00
    Figures cited by Punch show Kogi State has signed into law two revenue-related bills intended to strengthen tax administration and align with the Federal Government’s broader tax reform agenda.

    The measures include a state internal revenue service establishment framework and a harmonised approach to collecting taxes and levies, presented as a way to boost transparency and reduce leakages.

    Officials argue that clearer rules can improve compliance and expand the revenue base beyond a narrow set of collection points, if the rollout avoids harassment and multiple taxation traps.

    Validation: The Guardian reported Kogi “signed into law two key revenue bills” aligned with the federal reform direction. PM News echoed the expected impact, quoting a government statement that the move is “expected to boost state revenue, enhance transparency, and promote economic growth.”

    Echotitbits take: Tax reform succeeds or fails in execution. Watch for whether Kogi digitises collections, curbs informal levies at local levels and sets a credible appeals process—business confidence depends on predictability, not just new laws.

    Source: The Punch — 2026-01-02 (https://punchng.com/kogi-gov-signs-tax-reform-laws/)
    The Punch 2026-01-02

    Photo Credit: The Punch

  • Ports on edge as shipping lines weigh new charges under Nigeria’s tax reforms

    Ports on edge as shipping lines weigh new charges under Nigeria’s tax reforms

    2026-01-02 06:00:00
    In a report by Punch, freight forwarding groups say tension is rising at Nigeria’s ports as shipping lines consider higher freight-related charges following the rollout of new tax reforms from January 1, 2026.

    Industry operators warn that any sudden increase in port-related costs can ripple into inflation, import prices, and cargo diversion to neighbouring countries—especially at a time when businesses are still adapting to currency and cost pressures.

    Stakeholders are calling for clarity on how the new tax implementation applies across shipping, terminal logistics, and associated services, to avoid inconsistent billing and disputes.

    The Guardian reports that “increasing tariffs at this critical time will further escalate the cost of doing business at Nigerian ports” and could encourage cargo diversion. The Sun also reports a tariff-hike angle, noting the Shippers’ Council is set to review certain charges while approving an increase for shipping lines in early 2026.

    Echotitbits take: If port charges jump abruptly, consumers pay twice—at the checkout and through slower supply chains. Watch the Nigerian Shippers’ Council and Customs for harmonised guidance, and whether freight forwarders push for phased implementation or explicit exemptions to prevent surprise billing.

    Source: The Punch — January 2, 2026 (https://punchng.com/tax-reforms-spark-tension-as-shipping-lines-plan-hikes/)
    The Punch 2026-01-02

    Photo Credit: The Punch

  • N’Assembly opens tax-acts paperwork to the public as “gazette mismatch” row grows

    N’Assembly opens tax-acts paperwork to the public as “gazette mismatch” row grows

    2026-01-02 06:00:00
    According to Punch, Nigeria’s National Assembly says it will publish the Votes and Proceedings from both chambers alongside the gazetted versions of the new Tax Acts, after allegations that the text in circulation differs from what lawmakers passed.

    The House leadership says the clerk will also make available the transmitted tax bills signed by the president, including the certificate pages, as part of an effort to calm the controversy and restore confidence in the documentation trail.

    Lawmakers have already constituted an ad hoc committee to review the alleged inconsistencies and report back, with officials framing the move as a transparency step rather than a reversal of the reforms.

    Premium Times reports the legislature is “promising to make available certified copies of the bills signed” to address public concerns, noting the Assembly’s directive to release those documents. Reuters, meanwhile, says the dispute centres on “discrepancies between the gazetted text and the version passed by lawmakers,” as the reforms move into implementation.

    Echotitbits take: This is a rare “open-the-files” moment for Nigeria’s legislature. If the certified versions don’t match what businesses are already pricing into contracts and tax planning, expect urgent circulars, re-gazetting, and possible legal challenges. Watch the ad hoc committee’s report and any guidance from FIRS/Nigeria Revenue Service on transitional enforcement.

    Source: The Punch — January 2, 2026 (https://punchng.com/nassembly-invites-public-to-scrutinise-tax-laws/)
    The Punch 2026-01-02

    Photo Credit: The Punch