By Onyeanya Ebere Immaculata

The Executive Chairman of the Nigeria Revenue Service (NRS), Dr. Zacch Adedeji, has clarified that the new tax laws do not allow authorities to tax personal or corporate bank savings, stressing that only profits and returns are subject to tax.
Speaking on Tuesday during Journalists’ Hangout on TVC, Adedeji dismissed claims that account balances, transfers, or narrations could trigger automatic tax deductions under the new regime, which took effect on January 1, 2026. He said personal transfers, gifts, and intra-account movements are not taxable and cannot be accessed by tax authorities.
Adedeji also rejected suggestions that banks could debit accounts for tax purposes, insisting no such provision exists in any law. He explained that the transition from the Federal Inland Revenue Service to NRS is a structural overhaul aimed at simplifying compliance and modernising revenue collection.
Addressing the development levy, he said it consolidates existing taxes, such as the education tax and police trust fund, to ease compliance while continuing to fund key priorities. He added that low-income earners would see reduced deductions, with essential items like food and transportation exempt from transactional taxes.
On digital assets, Adedeji clarified that only profits are taxable, not capital or losses. He noted that withholding tax remains prepaid and that existing tax clearance certificates remain valid during the transition.
The NRS chairman urged Nigerians to rely on facts rather than rumours, adding that the reforms aim to harmonise Nigeria’s tax framework, cut manual processes, and improve efficiency through technology.

By Onyeanya Ebere Immaculata

Former presidential candidate Peter Obi has urged the Federal Government to suspend the implementation of Nigeria’s new tax laws, citing serious errors, inconsistencies, and gaps that could harm businesses and taxpayers.
In a statement on his X account on Tuesday, Obi referenced a KPMG Nigeria report highlighting 31 critical issues, including the taxation of shares, dividend treatment, obligations of non-resident entities, and foreign exchange deductions. He warned that the complexity of the laws could confuse even experts and stressed that Nigerians were not adequately consulted before the reforms were enacted.
Obi criticised the government’s rush to enforce the laws, pointing to rising food and transport costs, shrinking purchasing power, and growing poverty as evidence that citizens have yet to see relief from the removal of fuel subsidies. He described the tax regime as inconsistent and poorly conceived, arguing that unclear taxes erode public trust.
Obi called on the government to prioritise dialogue, clear communication, and national consensus to ensure meaningful reform and sustainable economic growth.
Meanwhile, Taiwo Oyedele, Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, dismissed much of the KPMG report, saying the concerns stemmed from misunderstandings of policy objectives, though he acknowledged some points were valid.

By Omoniyi David

The Nigerian capital market recorded one of its strongest performances in 2025, earning global recognition after delivering exceptional returns and attracting increased investor interest.

As attention shifts to 2026, analysts are assessing whether the rally can be sustained amid political and policy uncertainties.

The market closed 2025 with an average equities return of 51.19 per cent, placing Nigeria among the world’s top five performing stock markets.

The Nigerian Exchange All Share Index posted a net capital gain of N32.13 trillion, outperforming several major economies where average returns remained below 25 per cent.

Capital raising activities rose to about N7 trillion, reinforcing the market’s role as a key funding source for government and corporate expansion.

Trading volumes also hit record levels, supported by strong activity in both the primary and secondary markets.

The debt market remained resilient, with companies increasingly relying on capital market instruments amid high interest rates. Commercial paper issuances alone reached nearly N1 trillion, largely driven by private firms.

The positive momentum has extended into 2026, with equities valuation approaching N100 trillion despite early year spending pressures. Analysts, however, caution that the year presents a mix of opportunities and risks.

As a pre election year, 2026 will see heightened political activity alongside the first full implementation of new capital market and tax laws. While the reforms are expected to strengthen regulation, analysts warn that policy interpretation and execution could influence investor sentiment, especially foreign portfolio flows.

Market watchers are also focusing on banking and insurance sector recapitalisation, which is expected to drive equity issuances, mergers and acquisitions in the first half of the year.

Analysts say sustained policy stability and effective implementation will be critical in determining whether the market extends its rally or enters a period of adjustment.