The National Assembly has transmitted a set of major tax reform bills to President Bola Tinubu for assent, marking a crucial step in the administration’s Renewed Hope economic agenda.
Chairman of the Senate Committee on Media and Public Affairs, Senator Yemi Adaramodu, confirmed the development during a press briefing on Tuesday at the National Assembly complex. He announced that harmonisation between the Senate and House of Representatives had been completed, allowing the legislative process to move to the executive stage.
“Yes, the bill has now been transmitted. It is out of our hands and on its way to the executive,” Adaramodu stated.
The legislative package includes four key bills: the Joint Revenue Board (Establishment) Bill, the Nigeria Revenue Service (Establishment) Bill, the Nigeria Tax Administration Bill, and the Nigeria Tax Bill. Together, they aim to modernise tax collection, expand the tax base, and improve coordination across all levels of government.
Originally introduced in November 2024, the bills underwent rigorous legislative review, including multiple revisions and negotiations. Adaramodu noted that the complexity of the legislation required thorough scrutiny to ensure consistency with existing laws.
“Tax legislation of this magnitude requires detailed examination. Our legal departments had to ensure alignment with existing statutes before the final transmission to the Presidency,” he explained.
The harmonised bills were signed by Senate President Godswill Akpabio and House Speaker Tajudeen Abbas before being forwarded to the Presidency. Akpabio had earlier attributed the bills’ passage to national interest, inclusive dialogue, and strong legislative leadership.
One of the more debated provisions was a clause that initially proposed allowing tax-generating states to retain 60 percent of Value Added Tax (VAT) revenue. Lawmakers from Northern states opposed the proposal, citing concerns over regional imbalance. A compromise was later reached, reducing the retention rate to 30 percent and replacing the term “derivation” with “place of consumption.”
Despite resistance from state governors and divisions within the legislature, consensus was eventually achieved. Akpabio commended both the governors and legislators, particularly younger members, for rallying behind the national cause.
If signed into law, the bills will represent one of the most comprehensive reforms of Nigeria’s tax and revenue systems in decades, promoting fiscal federalism, improving oversight, and addressing revenue leakages across government institutions.
Nzubechukwu Eze
