Tax Laws: Reps Caucus Opposes Rollout, Court Battle Begins Wednesday

Opposition to Nigeria’s newly enacted tax laws escalated on Monday as the Minority Caucus of the House of Representatives and the National Association of Nigerian Students called for an immediate suspension of their implementation, while a Federal Capital Territory High Court ordered an accelerated hearing of a suit challenging the laws’ authenticity and proposed commencement date of January 1, 2026.

The Minority Caucus raised concerns over allegations that the versions of the tax laws gazetted by the Federal Government materially differed from those passed by the National Assembly and signed by President Bola Tinubu, warning that enforcing the laws under such circumstances would amount to a constitutional violation.

The controversy was triggered two weeks ago when a Peoples Democratic Party lawmaker representing Kebbe/Tambuwal Federal Constituency of Sokoto State, Abdussamad Dasuki, informed the House during plenary that the tax Acts passed by lawmakers were not the same as the copies later gazetted by the Federal Government.

According to Dasuki, the alleged alterations were made without parliamentary approval and, if left unchecked, would violate the 1999 Constitution (as amended).
Following his motion, the House constituted a seven-man ad hoc committee chaired by the lawmaker representing Borno State, Muktar Betara, to investigate the allegations and report back for further legislative action.

In a statement issued on Monday and jointly signed by Minority Leader Kingsley Chinda, Minority Whip Ali Isa, Deputy Minority Leader Aliyu Madaki and Deputy Minority Whip George Ozodinobi, the caucus said suspending implementation of the tax laws was necessary to allow the Betara-led committee to complete its assignment.

“We have noted with great consternation and an overwhelming sense of disappointment the current storm brewing over the tax reform laws that were duly passed by the National Assembly and properly signed into law by President Bola Ahmed Tinubu, GCFR,” the statement read.

“Ordinarily, the controversy would have been dismissed as needless, but the gravity of the cause of the controversy is an issue of great concern to all Nigerians, especially since it borders on accusations of unlawful alterations to the laws as passed by both chambers of the National Assembly and subsequently signed by the President.”

The caucus said it was aware that the issue had been formally raised on the floor of the House and was already under investigation by a “high-powered committee,” adding that it would stand with the House to ensure accountability.

“We want to assure Nigerians that the Minority Caucus of the House of Representatives will stand with the entire House to see that the circumstances surrounding this illegality are exposed and the culprits brought to book in the interest of justice for all Nigerians,” the statement said.

The lawmakers stressed that the National Assembly remained the lawful custodian of all Acts passed into law, explaining that the gazetting process begins with the Clerk to the National Assembly transmitting authentic copies to the relevant government agency.

“We therefore call on Nigerians to disregard any purported tax laws being circulated without the signature of the Clerk of the National Assembly and the President and Commander-in-Chief, as such did not originate from the National Assembly and neither reflect what was actually passed by the Legislature,” the caucus warned.

It added that any attempt to foist altered laws on Nigerians amounted to “an attack on the independence and constitutional role of the National Assembly.”

The caucus consequently urged the Federal Government to halt enforcement of the tax laws pending the outcome of the investigation.

“We call on government to suspend the implementation of the tax laws until investigations are concluded and there is clarity and certainty of the law to be implemented,” it said, noting that “Nigerians and the business community are entitled to copies of the laws that they are expected to comply with.”

The legislative opposition was reinforced by the National Association of Nigerian Students, which threatened nationwide protests if the Federal Government proceeds with implementation of the Tax Reform Law from January 1, 2026.

In a statement signed by its National President, Olushola Oladoja, the students’ body demanded immediate suspension of the law, citing a “glaring failure in public education” and the ongoing National Assembly probe into the alleged alterations.

“A law whose authenticity is now under investigation cannot, in good conscience, be implemented,” NANS said. 

“With the National Assembly already setting up a committee to review and investigate the alleged alterations, the implementation of this law by January 1 becomes clearly untenable, reckless, and unacceptable.”

NANS warned that failure to suspend the law by January 14, 2026, would trigger coordinated nationwide protests by students.

The association expressed concern that Nigerians remained largely uninformed about the content, scope and long-term implications of the tax reforms, warning that poor communication could deepen distrust between citizens and the government.

“A reform of this magnitude requires extensive public education, clarity and trust-building mechanisms, none of which have been adequately provided,” the statement said.

NANS particularly faulted the Federal Inland Revenue Service , accusing it of failing to conduct an inclusive and nationwide sensitisation campaign.

“It is a shame that the Federal Inland Revenue Service has failed woefully in its responsibility to design and execute an effective, inclusive and nationwide public enlightenment process,” the group said.

The students criticised the use of selected social media influencers for sensitisation, describing the approach as “elitist, exclusionary and disconnected from the realities of the average Nigerian household.”

Meanwhile, the Federal Government reaffirmed its commitment to the January 1, 2026 commencement date.

Following a high-level meeting with President Tinubu on Friday, the Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, said implementation of the Nigeria Tax Act and the Nigeria Tax Administration Act remained firmly on schedule.

As political and public pressure mounted, the legal battle over the tax laws formally entered the courts.

On Monday, the High Court of the Federal Capital Territory, Abuja, granted accelerated hearing in a suit seeking to halt implementation of the 2025 Tax Acts but declined to issue interim injunctive relief.

The suit, filed by the Incorporated Trustees of African Initiative for Abuse Public Trustees against the Federal Republic of Nigeria and others, challenges alleged discrepancies in the tax laws and their proposed January 1, 2026 implementation date.

Joined as respondents are the Attorney-General of the Federation, the Senate President, the Speaker of the House of Representatives and the National Assembly.

Ruling on an ex parte motion argued by the plaintiff’s counsel, Nnamdi Mba, the vacation judge, Justice Bello Kawu, ordered accelerated hearing of the substantive suit and granted leave for substituted service on the defendants.

However, the court declined to restrain the Federal Government and its agencies from implementing the laws, directing instead that all defendants be put on notice.

Justice Kawu adjourned hearing of the motion on notice to Wednesday, December 31.

As events unfold, the clash between the legislature, civil groups, students and the executive arm underscores growing uncertainty over Nigeria’s most far-reaching tax reforms in decades, with both political and judicial outcomes now set to shape their fate.