The Presidential Fiscal Policy and Tax Reforms Committee (PFPTRC), has revealed plans to refix Nigeria’s tax system, with a significant focus on exempting 95% of the informal sector from all taxes.
Chairman of the Committee, Taiwo Oyedele, who disclosed this development to journalists at a Retreat of the PFPTRC in Abuja emphasized that the primary aim of this initiative is to ease the burden of multiple taxation on small businesses and low-income individuals.
Oyedele reiterated the importance of supporting citizens in the informal sector, who are working hard to earn a legitimate living, by refraining from over-burdening them with taxes.
The Committee’s recommendation entails excluding individuals earning less than ₦25 million annually from paying all forms of taxes, including income tax and Value-Added Tax (VAT).
Oyedele highlighted the necessity of tax reform, noting its far-reaching impact on both businesses and the general population.
Oyedele stressed the importance of accountability and compliance with tax laws, urging leaders to lead by example and fulfill their tax obligations to lawful authorities promptly and accurately.
