The Nigeria Extractive Industries Transparency Initiative (NEITI) has committed to supporting the legislative process of the 2024 Tax Reform Bill by providing technical expertise, data-driven insights, and policy recommendations. The initiative aims to ensure the bill strengthens fiscal transparency, enhances accountability, and maximizes resource benefits for Nigerians.
Speaking at the Rembinar Dialogue, organized by NEITI in collaboration with Order Paper Nigeria, NEITI Executive Secretary, Dr. Orji Ogbonnaya Orji, described the bill as a bold step toward modernizing Nigeria’s tax system. He noted that NEITI had examined the proposed reforms and acknowledged their potential to improve tax administration, streamline legal frameworks, and enhance compliance across industries, particularly in oil, gas, and mining.
NEITI has submitted key recommendations to the National Assembly, advocating for tax law consolidation to improve clarity and compliance, taxation of digital assets and non-resident entities in line with global standards, stronger anti-tax avoidance measures, improved VAT administration, double taxation relief, and targeted tax incentives for priority sectors.
Dr. Orji stressed the need to assess how these provisions would impact NEITI audits, revenue transparency, and sector-specific compliance. He raised critical questions about how the new tax regime would uphold transparency and ensure that extractive companies fully disclose their tax obligations.
He further emphasized the importance of multi-stakeholder engagement, urging civil society organizations, the private sector, and the media to actively monitor the bill’s implementation. The Rembinar Dialogue, themed “Tax Bills and the Implications for NEITI Audits,” was established as a platform to facilitate discussions on resource governance, fiscal transparency, and accountability in Nigeria’s extractive sector.
Dr. Orji reiterated that the extractive sector remains central to Nigeria’s economy, contributing significantly to government revenue and foreign exchange earnings. However, challenges such as tax evasion, revenue leakages, weak enforcement, and lack of transparency continue to hinder its potential for sustainable development. He maintained that the 2024 Tax Reform Bill represents a crucial step in addressing these issues and ensuring Nigeria’s fiscal sustainability.
