The Federal Government on Monday met with top officials of global professional services firm KPMG to address concerns and disagreements arising from the implementation of Nigeria’s new tax laws.
The meeting, held in Abuja, followed intense debate within Nigeria’s business and professional communities over the implications of the new tax framework.
In a recent report titled “Nigeria’s New Tax Laws: Inherent Errors, Inconsistencies, Gaps and Omissions,” KPMG Nigeria raised concerns about several provisions of the laws. The firm flagged issues relating to the taxation of shares, dividend treatment, obligations of non-residents, and foreign exchange deductions, warning that the measures could negatively affect businesses and taxpayers.
KPMG subsequently called for a review of the legislation, arguing that the “errors, inconsistencies, gaps, omissions and lacunae” identified in the laws required urgent reconsideration.
In response, the Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, Taiwo Oyedele, defended the Nigeria Tax Act (NTA), insisting that KPMG Nigeria had misunderstood the intent and structure of the reforms.
However, at Monday’s meeting, the Executive Chairman of the National Revenue Service (NRS), Dr Zacch Adedeji, provided clarifications on several areas of concern raised in the report.
According to updates from the meeting, the KPMG delegation said its earlier position on the tax laws had been misconstrued and expressed regret over the misunderstanding. The firm sought further clarification on specific provisions and identified areas where technical recommendations could still be made.
Both sides acknowledged that differing interpretations of the new laws had contributed to confusion among taxpayers and agreed that sustained engagement and dialogue would be necessary to address emerging issues.
The KPMG team also commended Adedeji for what it described as the effective and timely implementation of the reforms, noting that many of its initial apprehensions had been significantly allayed.
In a statement shared on X, the NRS said Adedeji received a KPMG delegation on a courtesy visit, during which the firm praised his leadership and affirmed that the tax reforms were “necessary and timely.” The statement added that KPMG pledged continued professional engagement in support of effective tax administration and Nigeria’s economic growth.
