FG, KPMG Resolve Differences Over Nigeria’s New Tax Regime

The Federal Government on Monday held talks with senior executives of global professional services firm, KPMG, in Abuja to address concerns arising from the implementation of Nigeria’s newly introduced tax laws.

The meeting followed weeks of public debate within the business and professional community over the scope and potential impact of the new tax framework on businesses, investors, and taxpayers.

KPMG Nigeria had earlier published a report highlighting what it described as gaps, inconsistencies, and unclear provisions in the laws, particularly in areas such as share disposal taxation, dividend treatment, obligations of non-resident entities, and foreign exchange deductions. The firm warned that these issues could create uncertainty and unintended consequences if not reviewed.

In response to the report, the Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, Taiwo Oyedele, defended the Nigeria Tax Act, explaining that some of the concerns raised were based on a misinterpretation of the intent and structure of the reforms.

At the meeting, the Executive Chairman of the National Revenue Service (NRS), Dr. Zacch Adedeji, provided further explanations on the disputed provisions and outlined the policy objectives behind the new tax regime.

The KPMG delegation clarified that its earlier position had been misunderstood and expressed regret over the confusion generated by the report. While seeking additional clarification on certain sections of the law, the firm noted that many of its concerns had been addressed and that room remained for constructive recommendations.

Both parties acknowledged that differing interpretations of the new legislation had contributed to uncertainty among taxpayers and agreed on the need for ongoing dialogue to ensure clarity and effective implementation.

The KPMG team also commended Dr. Adedeji for what it described as the orderly and timely rollout of the reforms, noting that the tax changes were necessary to strengthen revenue administration and support economic stability.

In a statement shared on its official X account, the National Revenue Service said the KPMG delegation pledged continued professional engagement in support of effective tax administration and national economic growth.