In summary, with effect from January 1st, 2026, there will no longer be Federal Inland Revenue Service, instead you will see and hear Nigeria Revenue Service.
How It Affects You
1. Tax payment will be digitized and centralized
2. No tax for those whose take home (salary) is less that #800,000 per annum.
3. If your business does not generate #50,000,000 yearly, your business will not be taxed.
4. No more tax for food, medicine and transportation. (the poor will finally breath)
5. Businesses will no longer deal with multiple tax collectors or redundant levies.
Challenges
• Will this be implemented?
• Will this reform be the same in all the regions?
Watch For 2026
• Rollout Plan: NRS structuring, digital tooling and stakeholder onboarding.
• Local Government Involvement: Adjustments of state and LGA revenue generation system.
• Economic effect: Changes on tax-to-GDP ratio and growth in GDP.
• Social impact: Reduced cost-of-living relief as a result of VAT exemptions on basics needs.
Will this be the sigh of relief for Nigerians or its just a change of uniform?
if this is well taken then it will really help the people in the country because Dy wan carry tax kill us. Since the beginning of this government it has been one tax or the other so I think this is a relief.