NIGERIA: ON TAX REFORMS AND DOUBLE TAXATION

By  Obiekwe Mwanolue
Tax Reforms:
Come 1st January 2026, over 40 million tax-paying Nigerians are expected to secure a Tax Identification Number (TIN) or risk losing access to bank accounts, the Nigerian Federal Government has declared.
This additional verification burden, with which the government imposes to enforce new tax rules, has raised panic and worry for millions of citizens already in possession of transaction identifications like the Bank Verification Number (BVN) and NIN (National Identification Number).
By its new tax rules, the APC-led Federal Government violates the nation’s 1999 constitution which authorizes no exclusive or concurrent basis to impose Value Added Tax (VAT) on already taxed citizens.
Added to this violation, is the proven criminal level of fiscal irresponsibility by the Tinubu-led government in accounting for taxpayers revenue. For example, five months after President Tinubu declared an excess revenue above its N40.8 Trillion budget, it turned around, this week, to announce a N30Trillion shortfall. Worse still, the government has failed to publish both its 2025 budgetary expenditures and spending from its oil-generated revenue, plunging business and contractors in fiscal limbo.
 *Electoral Reform:*
In over two and half years in power and with an under-average performance in economy, security and foreign policy, many worse-off Nigerians now grapple daily with the shambolic electoral process that hurled Tinubu to power in the first place.
Since reneging on the use of accreditation and transmission systems as enshrined in 2022 Electoral Act, the Independent National Electoral Commission (INEC) continues to cast a prolonged doubt on the credibility of future electoral process in Nigeria. Now a fresh window has opened for INEC’s new chairman,
 Prof. Josh Amiputan, to commence implementation of electoral reforms including Bimodal Verification Accreditation System (BVAS), timely collation of results, and speedy resolution of post-election disputes among others. Without such binding reforms ahead of the 2027 general elections, the loopholes that allowed for opacity and manipulation will remain open
 *On Party Defection:*
While INEC is encouraged to work its part, the habit of cross-party defection among politicians must be strongly condemned. Nigeria’s nascent democracy yearns for party politics rooted in definitive ideologies not incessant defections—from opposition parties to the ruling APC—which creates a uniparty crony club betraying the trust of millions of voters.
In recent times, the APC has been accused of commodifying democracy by weaponising billions of alleged taxpayers funds to reward defection. If true, this constitutes a condemnable violation of the Corrupt Practices Act with far-reaching damage to the nation’s political system. It behoves on INEC and the state justice system to preserve and protect the sanctity of the nation’s electoral system by instituting guardrails against incessant and counterproductive defections.
 *Incessant Checkpoints in South-South and South-East:*
As Nigerians journey back to their hometowns to celebrate the Christmas season, perhaps, it is a critical time for Defence Headquarters to make good the widespread enforcement of its orders to dismantle non-essential roadblocks nationwide. The Southeastern region, specifically suffers significant harm as it fields an average of 2000 police and military checkpoints across five states, making it the most checkpointed region in Nigeria, per intersociety reports. In all its major interstate roads—Aba/Enugu, Aba/Port Harcourt, Owerri/Onitsha, Onitsha/Enugu etc—a checkpoint is stationed for every four to six kilometers of road. Last year in December, these roadblocks allegedly raked in over N20 billion from extortion of commercial motorists and private travelers, resulting in illegal double taxation and costing travelers billions more in travel delays.
The Federal Government is encouraged to continue in its fight against corruption, and to reinstate petroleum subsidies as the most equitable distribution of welfare benefits to citizens. It must commit to free and fair upcoming elections and cease the entrenchment of nepotism and religious ethnocentrism in appointment processes.
Finally, the Federal Government as a matter of urgent necessity should fix the major oil refineries in Nigeria such as those of Kaduna, Port-Harcourt and Warri as this will go a long way to contribute to the alleviation of hardship encountered by innocent Nigerians.

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