Dada Olusegun, Special Assistant to President Bola Ahmed Tinubu on Social Media, has issued a detailed statement to clarify misconceptions surrounding the upcoming Tax Reform Bills scheduled for implementation in January 2026. The move comes after widespread misinformation spread by some social media influencers, notably blogger Tunde Ednut.
According to Olusegun, the new tax system introduces a progressive personal income tax structure designed to ease the burden on low-income earners while ensuring that high earners contribute their fair share. The proposed tax rates are as follows:
First N800,000: 0% tax rate (exempted from personal income tax)
Next N2.2 million: 15%
Next N9 million: 18%
Next N13 million: 21%
Next N25 million: 23%
Above N50 million: 25%
“This approach aims to reduce taxes on those who earn less and promote fairness in wealth distribution,” Olusegun explained.
The new legislation also raises the threshold for companies to begin paying corporate income tax from N25 million to N50 million in annual turnover. This adjustment seeks to support the growth of small businesses by allowing them to operate tax-free until they achieve financial maturity.
President Tinubu has emphasized the need to stop “taxing the seed,” referring to small and emerging enterprises, with the focus shifting to taxing businesses that have reached a substantial scale.
Another key reform highlighted is the effort to end multiple taxation by consolidating various taxes imposed by different government levels into a single tax unit, thereby significantly reducing excessive tax burdens on citizens.
Olusegun stressed that these reforms are critical to accelerating economic growth, reducing inequality, and lowering inflation. He warned Nigerians against being swayed by “fake news merchants” and “mob-lifters” who spread misinformation aimed at derailing progress.
“The act promises to be a game-changer,” he concluded, “and after decades of delay, we must move forward with resolve.”
This clarification aims to prepare Nigerians for the upcoming changes and ensure a better understanding of the benefits inherent in the new tax regime.