Taiwo Oyedele, chairman of the presidential fiscal policy and tax reforms committee, said Nigerians are anxious about the new tax reforms set to take effect in January 2026 due to a lack of awareness.
Speaking over the weekend, he explained that most provisions on Tax Identification Numbers and monthly bank reports were already included in the 2020 Finance Act, but poor tax literacy has led many to believe they are new.
Oyedele clarified that neither banks nor government authorities can debit individuals’ accounts without following due legal procedures.
“Even if you have N1 billion in the account, nobody can debit your bank account. That’s why I took you through the process of, if you’re not paying your taxes, they write to you, you write back, you do a final assessment, it’s conclusive, and then you go to court,” he said.
The chairman emphasized that the upcoming 2025 Nigeria Tax Administration Act requires taxable Nigerians to possess a Tax Identification Number to operate accounts.
He noted that fears over sudden deductions are unfounded and rooted in misconceptions about the law, highlighting that proper legal processes and safeguards, such as the power of substitution, govern tax enforcement.