Only gazetted laws are binding, NRS warns amid tax reform controversy

The Nigeria Revenue Service (NRS) has dismissed claims that the country’s newly enacted tax reform laws were altered after passage, stressing that only officially gazetted Acts of the National Assembly carry legal authority and are binding on taxpayers and revenue administrators.

Executive Chairman Zacch Adedeji made the clarification during a televised interview in Abuja, as the country adjusts to the new tax framework, which includes the renaming of the Federal Inland Revenue Service (FIRS) to the Nigeria Revenue Service (NRS).

Adedeji described NRS not as a mere rebranding, but as a full institutional upgrade aimed at transforming revenue administration from fragmented systems into a modern, digitalised, centralised, and intelligence-driven structure.

“Only the officially gazetted Acts carry legal authority and are binding on taxpayers and administrators,” Adedeji said. “An Act of the National Assembly becomes effective only after Presidential assent and official gazetting. The gazetted version is the authoritative text in the event of disputes. Revenue agencies, courts, and taxpayers are guided solely by the gazetted law, not draft bills, committee reports, or chamber debates. Neither the executive nor the revenue authority has any incentive or legal capacity to alter the law after passage.”

Under the new framework, multiple tax and revenue-related functions previously spread across agencies have been consolidated. The NRS emphasises automation, data integration, reduced human discretion, and intelligence-driven enforcement to improve efficiency and compliance.

Adedeji also said the overhaul aligns with the Federal Government’s broader fiscal objectives, noting that Nigeria’s tax-to-GDP ratio has risen to about 13.5 per cent as of October 2025, though it still lags behind the African average and peer emerging markets.

“The overall aim is to focus on taxing profits and returns rather than capital or investment. We are not going to tax poverty; we want to tax prosperity,” he said.

The NRS clarification comes amid public confusion and debate over the implications of the new tax laws, which are intended to modernise revenue administration and strengthen the country’s fiscal base.