Presidency says Tax Reform Bill will curb poverty and empower Nigerians

Thursday, April 17, 2025 - The Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, Taiwo Oyedele, has stated that the Tax Reform Bill will significantly reduce poverty and empower ordinary Nigerians.

Speaking at the Spokespersons’ Summit organised by the Nigerian Institute of Public Relations (NIPR) in Abuja, Oyedele expressed confidence in the positive changes the bill is set to bring, particularly for low-income earners and small businesses.

He highlighted key features of the proposed reform, including the exemption of low-income earners from paying Personal Income Tax (PAYE), and the removal of Value Added Tax (VAT) on essential goods and services such as food, education, and healthcare.

Additionally, the bill proposes a zero per cent Corporate Income Tax (CIT) rate for small businesses. Oyedele acknowledged that despite its benefits, the bill has faced criticism and misunderstandings.

“Tax issues are not always popular because people find it difficult to part with their money—especially when they can’t see the benefits of what the government is doing with it,” he said.

According to him, the committee’s approach was to identify challenges through data and design a solution tailored to Nigeria’s needs.

“That is exactly what we have done with the tax reform bill, which is now close to being passed and signed by the President,” he added.

Oyedele emphasized that once implementation begins, Nigerians—especially those in lower-income brackets—will start to experience real improvements in their daily lives.

“We want Nigerians to have the opportunity to create wealth. When they succeed, they can then pay taxes—not the other way around,” he said.

He also commended NIPR for organizing the summit and for promoting public understanding of government policies.

In his remarks, NIPR President and Chairman of Council, Dr Ike Neliaku, stressed the importance of involving professional communicators in policy formulation. He said communicators play a crucial role in explaining complex policies to the public.

“When the government says, ‘This is what we want to do,’ it’s up to trained experts—not quacks—to develop effective communication strategies,” Neliaku stated.

He noted that the tax reform was misunderstood largely due to poor communication, which gave room for misinformation.

To address this, NIPR and its partners are working with the government to create a comprehensive tax communication framework. Similar efforts are also ongoing in areas such as climate action and science communication.

Neliaku urged spokespersons to continually update their knowledge and stay informed on current trends and issues to communicate effectively.