The Executive Secretary of the Joint Revenue Board, Mr Olusegun Adesokan, has urged state governments to align their tax laws with the new national tax regime, describing subnational cooperation as critical to the success of ongoing fiscal reforms.
Adesokan said, “While national laws provide direction, true transformation requires alignment at state and local levels, where a significant portion of tax administration occurs,” stressing that the full benefits of the new tax framework would only materialise if states domesticate and implement its core principles.
In a statement he issued on Wednesday, Adesokan said Nigeria was undertaking one of the most comprehensive fiscal reform efforts in its history, anchored on four new tax laws signed under President Bola Ahmed Tinubu’s administration.
The laws include the Nigeria Tax Act, the Nigeria Tax Administration Act, the Nigeria Revenue Service (Establishment) Act, and the Joint Revenue Board of Nigeria (Establishment) Act.
According to him, the statutes provide a unified legal and institutional framework to modernise the country’s tax ecosystem and align it with global standards.
He said the reforms were designed not merely to raise revenue but to serve as instruments of national development.
“A sound tax system is not simply a revenue tool; it is a national development instrument,” Adesokan stated, adding that the reforms aim to simplify tax rules, eliminate multiple taxes, strengthen administration, and promote equity and transparency.
He said key objectives of the reform include providing relief for poor and vulnerable Nigerians and small businesses, reducing leakages, improving compliance through technology, and strengthening accountability in revenue collection.
According to him, these measures are expected to create a more business-friendly environment while increasing government capacity to fund infrastructure, social services, and other programmes that directly impact citizens.
Adesokan noted that while national legislation sets the direction, effective implementation depends on subnational governments, where much of tax administration occurs.
To that end, the Joint Revenue Board developed a Model States Taxes and Levies Harmonisation Law to guide states in aligning their laws with the new national framework.
He disclosed that 12 states have already enacted versions of the harmonisation law, while several others are at various stages of stakeholder consultations, policy reviews, and legislative processes.
The Executive Secretary said the harmonisation initiative was designed to address longstanding complaints about the multiplicity of taxes, overlapping levies, and informal collection practices that have burdened businesses, especially small and medium enterprises.
One of the key features of the model law, he said, is the consolidation of nearly 60 different taxes, levies, fees, and charges into nine clearly defined collection heads.
“This eliminates confusion as well as duplication and makes compliance easier for individuals and enterprises alike,” he said.
He added that the framework introduces measures to eliminate unauthorised roadside collections, curb the activities of non-state revenue collectors, discourage cash-based payments in favour of electronic channels, standardise assessment and collection procedures, and expand the use of digital technology for tax payments.
According to Adesokan, these measures represent a shift toward a more orderly and transparent revenue system capable of supporting legitimate economic activity.
He argued that a simpler and more predictable tax system would naturally improve compliance, strengthen investor confidence, and reduce the cost of doing business across states.
“When tax systems become simpler, fairer and more predictable, compliance improves naturally. Businesses can plan with confidence, investors feel more secure, and governments collect revenue more efficiently,” he said.
Adesokan added that the reforms were already generating growing public confidence, as citizens have started to see efforts to replace fragmented and inconsistent tax practices with a more coherent structure.
He emphasised that trust remains central to any effective tax regime, noting that taxpayers must be assured that rules are clear, collections are lawful, and revenues are deployed responsibly.
He said the collaboration between federal, state, and local authorities reflects recognition that fiscal stability and national development require coordinated action.
Adesokan also maintained that the objective of the reform is not simply to collect taxes but to build a fair and transparent system that supports economic opportunity and national growth.
