Senate Completes Passage of Landmark Tax Reform Bills
The Senate has passed the remaining two tax reform bills — the Joint Revenue Board Establishment Bill 2025 and the Nigeria Tax Bill 2025 — completing the legislative process for all four executive-sponsored tax proposals.
The bills were adopted following clause-by-clause consideration in the Committee of the Whole and third reading on the Senate floor.
Senate President Godswill Akpabio described the passage as historic, noting it marks Nigeria’s first set of modernised tax legislation. A conference committee has been constituted to harmonise the Senate’s versions with those earlier passed by the House of Representatives.
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The bills include the Joint Revenue Board Establishment Bill, the Nigeria Revenue Service Establishment Bill, the Nigeria Tax Administration Bill and the Nigeria Tax Bill.
“These bills aim to modernise Nigeria’s tax system and improve revenue efficiency,” the Senate stated.
On VAT revenue sharing, the committee revised the distribution formula: 10% to the Federal Government, 55% to states and the FCT, and 35% to local governments. Among states, 50% will be shared equally, 20% based on population, and 30% by point of consumption.
Once harmonised, the unified versions will be transmitted to President Bola Tinubu for assent.
