Understanding intersection between you and new tax laws (3)

In this third part, Tax Alexa simplifies questions that may arise in the minds of taxpayers concerning the various provisions of the tax laws which took effect in January, including certain offices established to ease the administration of the tax reform, and their operations

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What happens to the old Joint Tax Board?

Based on the provisions of the new laws, all assets, functions, rights, and obligations of the former Joint Tax Board are transferred to the new Joint Revenue Board.

What are the main functions of the Joint Revenue Board?

Key functions are:

• Maintaining a national taxpayer database
• Resolving disputes between tax authorities
• Advising on double taxation and tax policy
• Promoting tax harmonisation across Nigeria
• Publishing tax revenue and expenditure data

What is the Tax Appeal Tribunal?

It is a specialised body established to settle tax disputes arising from the administration (including assessment, payment and enforcement) of tax laws in Nigeria.

Can a taxpayer appeal a decision of the Tax Appeal Tribunal?

Yes. Appeals can be made to the Federal High Court on points of law within 30 days of the Tribunal’s decision.

Is a taxpayer required to make a mandatory deposit as a precondition for appeal to the Tribunal?

No. A taxpayer has the right to appeal a decision of the relevant tax authority to the Tax Appeal Tribunal once the established procedures for administrative resolution have been exhausted. There is no requirement for a mandatory deposit.

What is the Office of the Tax Ombud?

It is an independent office that reviews and resolves complaints from taxpayers regarding actions or decisions of tax authorities.

Who appoints the Tax Ombud?

The Tax Ombud is appointed by the President on the recommendation of the Minister of Finance.

How can a taxpayer lodge a complaint with the Tax Ombud?

Complaints can be lodged in writing or through any platform provided by the Office of the Tax Ombud.

Can the Tax Ombud interpret tax laws?

No, the Ombud cannot interpret tax legislation except for operational, procedural, or administrative issues arising from the application of tax laws.

Tax disputes now free to resolve – Oyedele

The Federal Government has said Nigerian taxpayers can now resolve tax-related disputes free of charge through the newly unveiled Office of the Tax Ombud platforms.

The office aims to improve fairness, transparency, and accountability in tax administration.

Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, stated this during the unveiling of the Tax Ombud website, toll-free call centre, and case management system at the Stratton Hotel in Abuja.

Oyedele said the new platforms would make tax dispute resolution more accessible to Nigerians regardless of location.

“Taxpayers, regardless of location, can now engage more easily with the dispute resolution process without unnecessary administrative bottlenecks or delays, and the good news is that it is entirely free,” he said.

He described the unveiling as “an important milestone in Nigeria’s fiscal reform journey.”

Oyedele added that a credible tax system must be built on “fairness, accountability, transparency, and trust,” not merely efficient revenue collection.

The minister explained that the Office of the Tax Ombud was established to strengthen taxpayer protection and improve confidence in Nigeria’s tax administration system.

“This institution is designed to serve as an independent, impartial, and accessible platform for resolving complaints, mediating disputes, and addressing systemic issues affecting taxpayers across the country,” Oyedele stated.

What your taxes do

Modernisation of Terminal 1 MMIA, Lagos

The complete modernisation of Terminal 1 at Murtala Muhammed International Airport in Lagos is a major project approved by Nigeria’s Federal Executive Council in July 2025. It aims to overhaul the nearly 50-year facility to meet global standards while minimising disruptions through phased construction.

Project Cost:

N712,258,565,482.18 (For MMIA Terminal 1 rehabilitation, along with expansion to Terminal 2, roads, apron, and bridges).

Timeline

Twenty-two months, with work set to accelerate following the full closure of Terminal 1.

A temporary 8,000 m² departure hall (90% complete as of early 2026) will handle up to 1,500 peak-hour passengers during closure, while arrivals shift to Terminal 2.

Scope

Terminal 1 will be stripped to its concrete core, reinforced, and rebuilt with modern systems including HVAC, plumbing, electrical, mechanical, security, and baggage handling. The project also covers Terminal 2 expansion (15,000 m² added), apron enlargement for wide-body aircraft, new ring roads, skywalk to car park, connection building between terminals, and landscape redesign.

Contractor

China Civil Engineering Construction Corporation holds the contract, supervised by the Federal Ministry of Aviation and FAAN’s Engineering Services Directorate.

Key facilities

Upgrades feature a glass curtain wall façade, reconfigured passenger flow with separated departures/arrivals, e-passport gates, fast check-in, smart HVAC/lighting, enhanced lounges, CCTV, retail zones with cultural elements, accessible restrooms/baby-care, and a dedicated transit area.

NRS debunks viral ‘vehicle tax’ claim, warns against fake news

The Nigeria Revenue Service has described as false and misleading a viral infographic claiming that the Federal Government has imposed a new vehicle tax effective July 1, 2026.

The infographic directs owners of private, commercial, and corporate vehicles to pay the levy “online or at approved banks and agencies,” without stating the said rate.

The report, whose source is unknown, also asks members of the public to visit the now defunct http://www.firs.gov.ng for more information. The curent website of the NRS is http://www.nrs.gov.ng.
In a statement, the Special Adviser to the Executive Chairman and spokesperson for the NRS, Dare Adekanmbi, said the Federal Government had not introduced any new tax on vehicles as claimed in the report.

“The NRS wishes to state categorically that the information did not emanate from the Service or any government agency.
“Citizens are, therefore, advised to disregard the fabricated message designed to mislead the public and instead rely on official government channels for information on government policies,” the statement said.

Key Information

 Comply to avoid sanctions

The Nigeria Revenue Service is committed to ensuring tax compliance through a clear framework of penalties and enforcement actions. Understanding these guidelines helps taxpayers avoid unnecessary fines and maintain good standing with tax authorities.

Penalties may be imposed for various non-compliance issues, including late filing, late payment, underreporting of income, failure to register, and providing false information.
Enforcement actions can range from reminders and audits to legal proceedings and asset recovery.

• Late Filing Penalties: Fines are charged for not submitting tax returns by the due date.
• Late Payment Penalties: Interest and additional charges apply to unpaid taxes after the deadline.
• Failure to Register: Businesses and individuals must register with the NRS; failure to do so may result in sanctions.
• False Declarations: Providing inaccurate or misleading information can lead to severe penalties, including prosecution.
• Audit & Investigation: The NRS may conduct audits or investigations if non-compliance is suspected.
  

  How to Avoid Penalties

• File all required tax returns and make payments on or before the due dates.
• Maintain accurate and up-to-date financial records.
• Register promptly with the NRS and update your information as needed.
• Seek guidance from qualified tax professionals or the NRS helpdesk if unsure about your obligations.
• Respond quickly to any correspondence or notices from the NRS.

Tax Identification Number

What is Tax ID Validation and Why is it Important?

A Tax Identification Number (TIN) is a unique number assigned by Nigeria’s tax authorities to individuals and organisations for tax purposes.
Validating your Tax ID means checking if this number exists in the official records and matches the right personal or business details.

How to Get a Tax ID

Simply go to the National Tax ID portal and provide your foundational identity (NIN for individuals and CAC Number for non-individuals). The site is fully NDPR compliant and your data is only used to generate/retrieve your Tax ID

Q & A: What is Development Levy?

A 4% development levy is imposed on assessable profits of companies (excluding small and non-resident companies). Proceeds are allocated to funds such as Tertiary Education Trust Fund, Nigerian Education Loan, Cybersecurity Fund, etc. (Section 59).

Taxable Line: The expenses of government, having for their object the interests of all, should be borne by everyone — Anne-Robert-Jacques Turgot, France Controller-General of Finances (1774)

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