Two of Nigeria's most influential socio-cultural organisations, Ohanaeze Ndigbo and the Arewa groups, have publicly thrown their weight behind the commencement of the country's new tax framework. This endorsement comes as a significant boost for President Bola Tinubu and the Federal Inland Revenue Service (FIRS), who are facing legal hurdles and criticism from opposition parties over the fiscal reforms.
Broad Support for Fiscal Reforms
In a joint statement issued recently, the groups commended the Federal Government for the coordinated and planned start of the new tax system. This follows a pivotal ruling by the Federal Capital Territory High Court, which removed legal obstacles and allowed the policy to take effect from January 1, 2026.
The organisations specifically praised President Bola Tinubu and the Executive Chairman of FIRS, Mr Zacch Adedeji, for ensuring what they described as a hitch-free beginning for the policy. This praise stands in contrast to the concerns raised by various political parties and civil society organisations.
Ohanaeze Ndigbo stated that the successful rollout demonstrates the administration's commitment to strengthening revenue generation and enhancing fiscal discipline. The group emphasised that a robust tax system is indispensable for national development, urging all Nigerians to support the reforms for the country's collective interest.
Judicial Backing and Opposition Concerns
Similarly, the Arewa groups lauded the leadership for proceeding with the policy in alignment with the government's economic agenda. They noted that early apprehensions and court actions had failed to disrupt the implementation timeline. The groups also acknowledged the judiciary's role, stating that recent court rulings provided the necessary legal clarity for the timely commencement of the tax laws.
The socio-cultural bodies argued that if properly managed and sustained, the new tax regime would significantly boost government revenue. This increase, they believe, would reduce reliance on borrowing and better fund infrastructure and social services nationwide.
Their statements align with President Tinubu's recent reaffirmation that the tax laws would proceed as scheduled. This was despite calls from the Peoples Democratic Party (PDP) for a suspension. The PDP's demand stems from alleged discrepancies between the harmonised and the officially gazetted versions of the legislation.
Court Dismisses Challenge, Path Forward
In a statement titled "New Tax Laws Will Commence On January 1, 2026 As Planned", President Tinubu clarified the government's position. He stated that the laws, including those effective from June 26, 2025, and others set for January 2026, would continue as planned. The President framed the reforms not as a tool to raise taxes, but as a measure to support a structural economic reset, drive harmonisation, and strengthen the social contract.
Tinubu added that his administration was open to collaborating with the National Assembly to address any issues arising during implementation. He insisted that no substantial problem had been identified to warrant halting the reform process.
However, the PDP, through its National Publicity Secretary Ini Ememobong, maintained its call for a suspension pending a full investigation into alleged unauthorized insertions in the tax laws. The party demanded accountability, asking Nigerians to seek answers on who was responsible for the purported illegal insertions.
In a decisive legal development, the Federal Capital Territory High Court in Abuja dismissed an application seeking to stop the tax regime's implementation. Justice Bello Kawu ruled that there was no legal basis to halt laws already enacted and gazetted. He asserted that fiscal policy reforms are within the government's lawful powers and that any perceived errors must be corrected through legislative amendment or a substantive court order.
Against this backdrop, Ohanaeze and Arewa have urged continued dialogue between the government and stakeholders to maintain public confidence. They reiterated their full support for policies aimed at repositioning the Nigerian economy for sustainable growth.
