In a major move toward tax reform, Taiwo Oyedele, the Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, has announced that 90% of workers in both the public and private sectors will soon benefit from reduced tax burdens. The initiative is part of the government’s broader strategy to create a fairer, more efficient tax system that supports economic growth while easing the financial load on lower-income earners.
Oyedele revealed that the reform package focuses on reducing the complexity of the tax system, addressing inefficiencies, and ensuring equity. By lowering the tax rates for the vast majority of workers, the government aims to boost disposable income, increase consumer spending, and stimulate economic activities.
“These reforms are designed to provide relief to the hardworking citizens of this country while ensuring that we have a tax system that is progressive and aligned with global best practices,” Oyedele stated during a recent press briefing.

The tax reduction plan will primarily target middle- and low-income earners, who often bear a disproportionate share of the tax burden. High-income earners and large corporations will continue to contribute significantly to government revenues, maintaining a balance between equity and fiscal responsibility.
Additionally, the government is working to expand the tax net by digitizing the tax administration process and incorporating the informal sector, which currently accounts for a significant portion of economic activity. This approach aims to increase overall compliance while reducing reliance on overburdened formal sector workers.
Economic analysts have welcomed the announcement, highlighting its potential to alleviate poverty and narrow income inequality. They also note that the reforms could improve Nigeria’s tax-to-GDP ratio, which remains one of the lowest globally.
The proposed tax cuts are expected to be implemented in phases, with specific details on rates and eligible income brackets to be released soon. Oyedele emphasized that the reforms are part of a long-term vision to build a tax system that promotes business growth, attracts investment, and enhances government revenue without overburdening citizens.
As the reforms take shape, stakeholders are optimistic about their potential impact on the broader economy. By ensuring that 90% of workers experience immediate benefits, the government hopes to build trust in the system and lay the groundwork for a more prosperous future.
Support InfoStride News' Credible Journalism: Only credible journalism can guarantee a fair, accountable and transparent society, including democracy and government. It involves a lot of efforts and money. We need your support. Click here to Donate