On June 26, 2025, President Bola Ahmed Tinubu signed into law four landmark pieces of legislation: the Nigeria Tax Act (NTA), the Nigeria Tax Administration Act (NTAA), the Nigeria Revenue Service Act (NRSA), and the Joint Revenue Board of Nigeria (Establishment) Act (JRBA) (the Acts). These Acts are scheduled to take effect on January 1, 2026.
This legislative milestone marks a watershed moment in Nigeria’s fiscal history. For decades, the country’s tax regime was defined by a patchwork of taxing statutes, which were subject to piecemeal amendments through successive finance acts. The enactment of the Acts signifies a decisive move toward a more cohesive, streamlined, and modern tax system, offering renewed prospects for efficient tax administration and enhanced revenue generation.
Given the breadth and depth of the changes introduced by these reforms, we will be unpacking the Acts through a series of focused publications. Each instalment will take a subject-by-subject approach, offering nuanced analysis and practical insights to help businesses and stakeholders understand the evolving tax landscape.
In this first publication under our “Deconstructing Nigeria’s Tax Reform Acts” series, we examine the taxation of employment income under the NTA and the NTAA. We consider the nature of income liable to tax, the compliance obligations of both employees and employers, and the rules regulating the determination of residency.