KPMG, NRS Seek Common Ground on Nigeria’s New Tax Laws
Atume Terfa
In a high-profile meeting in Abuja on Monday, top executives from global advisory giant KPMG sat down with Dr. Zacch Adedeji, Executive Chairman of the Nigeria Revenue Service (NRS), in a move aimed at resolving tensions over the country’s newly enacted tax laws. The discussions come after KPMG issued a technical analysis highlighting what it described as “errors, inconsistencies, gaps and omissions” in the new framework — concerns ranging from taxation of shares and dividends to non-resident obligations and foreign exchange deductions.
KPMG had warned that these ambiguities could undermine the laws’ effectiveness and called for urgent clarifications to preserve business confidence and ensure smooth compliance. During the meeting, the NRS framed the engagement as a courtesy visit to deepen understanding and clear up misconceptions. According to the agency, KPMG acknowledged that parts of their earlier commentary may have been misinterpreted and expressed a willingness to work with the authority for clearer guidance on specific provisions.
Both sides emphasised that differences in interpretation had fueled confusion among taxpayers, and agreed that ongoing dialogue would be crucial as the new laws — including the Nigeria Tax Act (NTA) and the Nigeria Tax Administration Act (NTAA) — officially take effect on January 1, 2026. KPMG executives reportedly commended Dr. Adedeji’s leadership and the timely rollout of the reforms, describing them as essential steps toward strengthening Nigeria’s fiscal system.
The debate comes amid one of the most ambitious tax overhauls in recent Nigerian history. The reforms aim to simplify the tax code, increase revenue mobilisation, improve compliance, and attract both local and foreign investment. Earlier, the Presidential Fiscal Policy and Tax Reforms Committee, chaired by Taiwo Oyedele, pushed back on some of KPMG’s critiques, suggesting that many perceived “errors” stemmed from misinterpretation rather than legislative flaws. The committee underscored that differences in interpretation are common during major reforms and stressed the value of constructive engagement between stakeholders.
KPMG, for its part, clarified that its analysis was intended as guidance, not criticism, aimed at helping businesses and professionals navigate the complex new legal landscape. The firm noted that post-enactment reviews are standard practice worldwide to ensure laws achieve their intended purpose without creating unintended administrative burdens.
As Nigeria transitions into this new tax regime, the meeting between KPMG and the NRS underscores the importance of collaboration between revenue authorities and professional advisers in smoothing implementation, reducing uncertainty, and supporting the country’s broader economic goals.
