Former Labour Party presidential candidate Peter Obi has called on the Federal Government to immediately halt the rollout of Nigeria’s newly gazetted tax laws, warning that the reforms are marred by serious flaws that could worsen economic hardship for businesses and ordinary citizens.
In a statement shared on his X account on Tuesday, Obi pointed to a recent report by global accounting firm KPMG Nigeria, which identified 31 critical problem areas — ranging from drafting errors and policy contradictions to significant administrative gaps.
These issues, he noted, affect key aspects such as the taxation of shares, dividend treatment, obligations for non-resident entities, and foreign exchange deductions.Obi expressed deep concern that the complexities were only acknowledged after private discussions between the National Revenue Service and KPMG. "If financial experts need closed-door meetings to make sense of these laws, what chance does the average Nigerian have of understanding the new obligations being imposed on them?" he asked.The former Anambra State governor described taxation as a vital social contract between government and citizens — one that must be built on trust, transparency, and clear public benefits.
He criticised the lack of widespread stakeholder engagement, noting that responsible tax reforms in other countries involve months or even years of open consultations with businesses, workers, and civil society."Yet in Nigeria, ordinary citizens have been left completely in the dark about both the regulations and what they stand to gain from the taxes they are now expected to pay," Obi said.
He argued that without visible improvements in healthcare, education, infrastructure, or social welfare, the focus on revenue extraction alone turns taxation into something resembling punishment or extortion rather than a tool for national development.Obi urged the government to pause implementation, address the highlighted concerns, engage citizens meaningfully, and build genuine national consensus before moving forward.
"Responsible governance means listening to the people, communicating clearly, and ensuring reforms lead to real growth and shared prosperity," he emphasised."Nigeria cannot afford to heap more burdens on its already struggling citizens.
What we need is a government that truly listens and prioritises unity, growth, and the welfare of all."The appeal comes amid ongoing public debate over the tax reforms, which took effect from January 1, 2026, as part of a major overhaul aimed at modernising revenue collection.
While the government has defended the laws, insisting most KPMG concerns stem from misunderstandings of policy intent, Obi's intervention adds to growing calls for a rethink to protect vulnerable Nigerians in tough economic times.
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