Organised labour in Nigeria has issued a stern warning over the scheduled implementation of the newly enacted tax reform laws, set to take effect in January 2026. The Nigeria Labour Congress (NLC) criticised the government for excluding key stakeholders from the legislative process, particularly labour unions despite their significant representation among taxpayers. The union cautioned that continued exclusion could trigger widespread public resistance.
NLC spokesperson Benson Upah raised concerns about the timing, lack of transparency, and ambiguous provisions within the new tax framework. His remarks referenced circulating reports about the introduction of tax agents and punitive enforcement mechanisms, which have yet to be clearly explained to the public. Upah stressed that the union expects comprehensive public sensitisation and clarity* from the government before the reforms are rolled out, emphasising that “when taxes are high and their administration is opaque, compliance drops and citizens may revolt.”
The opposition to the tax reforms has intensified amid allegations that the versions of the laws gazetted for public access differ from those originally passed by the National Assembly. These discrepancies have drawn criticism from lawmakers and civil society groups, who are calling for the implementation to be suspended and investigated to preserve public trust and legal integrity. Former Senate Leader Ali Ndume specifically urged President Bola Tinubu to delay the January rollout until the issues are resolved.
Beyond organised labour, small and medium‑scale business associations* have also joined the call for a suspension of the tax laws and more robust stakeholder engagement, warning that the current level of public awareness is insufficient and could undermine compliance. Conversely, some industry organisations, such as the Manufacturers Association of Nigeria (MAN), have voiced support for the reforms, viewing them as a critical step toward eliminating nuisance taxes and streamlining the country’s tax regime.
The ongoing controversy highlights growing public unease over the economic impact, transparency, and constitutional standing of the tax reform process. As the proposed implementation date approaches, Nigeria appears poised for more intense public debate over the direction and integrity of fiscal policy reform.
Sources:
1.PunchNewspapers— punchng.com/four-days-to-tax-reform-manufacturers-excited-labour-smes-threaten-revolt/
2.TheGuardianNigeria— guardian.ng/news/growing-opposition-threatens-january-implementation-of-tax-laws/