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Intense public debate has erupted over Nigeria’s New Tax Law 2025, following allegations that the gazetted version contains provisions that were not approved by the National Assembly.
Legal practitioners, academics, labour groups, and civil society organisations are now calling for transparency, warning that any altered or forged law undermines constitutional governance and taxpayer rights.
Ejes Gist News reports that the controversy centres on claims of post-legislative insertions, deletions, and threshold changes that, if proven, could fundamentally alter Nigeria’s tax administration landscape without parliamentary consent.
Below is a breakdown of the key allegations and why critics argue Nigerians should scrutinise and reject any unverified version of the law until an authoritative text is released.
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1. Alleged Expansion of Enforcement Powers Without Judicial Oversight
One of the most contentious claims is that the gazetted law dramatically expands the enforcement authority of the Nigeria Revenue Service (NRS).
Critics allege that newly inserted provisions empower the NRS to:
- Arrest taxpayers
- Freeze bank accounts
- Garnish funds
- Enforce compliance without a court order
Legal analysts note that such powers traditionally require judicial authorisation to protect citizens from abuse. They argue that granting a revenue agency quasi-policing powers without checks violates principles of due process, proportionality, and separation of powers enshrined in Nigeria’s Constitution.
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2. Alleged Lowering of Tax Reporting Thresholds
Another flashpoint involves claims that income thresholds for tax reporting were quietly reduced.
According to the circulated analysis:
- Individual reporting thresholds allegedly dropped from ₦50 million to ₦25 million
- Corporate thresholds allegedly dropped from ₦250 million to ₦100 million
Critics say thresholds define who enters the tax net and directly affect small businesses, professionals, and the middle class. Any reduction, they argue, must be explicitly debated and approved by lawmakers, not introduced through a gazette.
Economists warn that if implemented without legislative backing, the changes could:
- Increase compliance costs for SMEs
- Discourage business formalisation
- Deepen distrust in fiscal policy
3. Controversial 20% Pre-Appeal Tax Deposit
The alleged requirement for taxpayers to pay 20% of a disputed tax assessment before filing an appeal has also drawn strong criticism.
Legal professionals argue that:
- It creates a financial barrier to justice
- It disproportionately affects small businesses and individuals
- It could discourage legitimate disputes against erroneous assessments
They note that access to the Tax Appeal Tribunal and courts is a constitutional right, and preconditions that effectively block appeals must be narrowly tailored and clearly authorised by law.
4. Alleged Removal of National Assembly Oversight
Perhaps the most serious allegation is the claimed removal of legislative oversight provisions.
According to critics, the gazetted version allegedly deletes clauses that:
- Allow parliamentary committees to summon revenue officials
- Require periodic reporting to the National Assembly
- Enable oversight of revenue collection and enforcement practices
Governance experts warn that removing such mechanisms weakens checks and balances, concentrates power within the executive, and reduces accountability in one of the most sensitive areas of governance: taxation.
Why the Allegations Are Triggering Public Outrage
Taxation directly affects livelihoods, businesses, and economic stability. Legal scholars stress that no law can be altered after passage without returning to the legislature. If discrepancies exist, they say, it raises fundamental questions about:
- Legislative integrity
- Rule of law
- Democratic accountability
The controversy has also reignited broader concerns about trust in public institutions, especially at a time of economic pressure and rising cost of living.
What Critics and Stakeholders Are Demanding
Groups raising the alarm are calling for immediate action, including:
- Publication of the official harmonised bill passed by the National Assembly
- Side-by-side comparison with the gazetted version
- Clarification from the Attorney-General of the Federation
- Confirmation through legislative records and voting transcripts
Until these steps are taken, critics insist Nigerians should withhold acceptance and compliance with any version of the law whose legitimacy remains in doubt.
Experts note that tax compliance relies heavily on public trust. Any perception that laws are altered outside democratic processes risks long-term damage to voluntary compliance, investor confidence, and institutional credibility.
