Enugu Inland Revenue Service Gains Autonomy Governor Peter Mbah of Enugu State has signed into law a bill aimed at simplifying tax collection and administration by creating a one-stop taxation system. The Enugu State Internal Revenue Service (Establishment and Consolidation of Revenue Administration) Law, 2025 grants autonomy to the revenue collection agency, eliminating bureaucratic hurdles and preventing multiple taxation. During the signing ceremony at the Government House in Enugu, Mbah emphasized the significance of this reform in improving the Ease of Doing Business and positioning Enugu as a top investment hub. Eliminating Multiple Taxation for Businesses Mbah acknowledged the frequent complaints from the business community, private sector, and market traders regarding multiple taxation. He reassured them that with the new law in place, tax payments would be centralized. “From today, all tax payments—whether for market traders, private businesses, or government agencies—will be made at a single revenue collection point. This ensures transparency and prevents unauthorized tax collection,” Mbah stated. This reform aligns with global best practices by streamlining tax payments, making compliance easier for businesses and individuals. How the New Taxation Law works The new legislation consolidates state and local government revenues, ensuring that each tier of government receives its due share. Similar to Land Use Charges and Value Added Tax (VAT), tax collection will be centralized, but the revenue will be distributed accordingly. “The idea is simple: one collection point, with appropriate revenue allocation to the relevant government bodies. This enhances transparency and accountability in revenue management,” the governor explained. Autonomy for the Enugu State Inland Revenue Service Under the new law, the Enugu State Inland Revenue Service (EIRS) now operates as an independent agency, allowing it to function with greater efficiency. IGR Growth Driven by Technology, Not Higher Taxes Governor Mbah also addressed misconceptions regarding the state’s Internally Generated Revenue (IGR). He clarified that the surge in revenue is a result of expanding the tax net, plugging revenue leakages, and leveraging technology—rather than increasing tax rates. “We have not raised taxes in Enugu State. Instead, we have improved revenue collection efficiency, ensuring that payments are properly documented and remitted to state accounts,” he assured. Conclusion The establishment of a one-stop tax collection system marks a transformative step in Enugu’s economic strategy. By streamlining tax administration, eliminating multiple taxation, and granting EIRS autonomy, the state is fostering a business-friendly environment that will attract more investors and drive sustainable growth. READ ALSO: Follow the LMSINT MEDIA channel on WhatsApp: Join Our WhatsApp Group Hear: Chat on WhatsApp Join our Telegram Chanel.
The Northern Economic Development Forum has eased concerns raised by Northern governors over the new tax reform policies introduced by President Bola Tinubu, assuring that these reforms will benefit the northern region. Northern governors initially opposed the Tax Reform Bills, urging the National Assembly to reject them, arguing that the reforms might not align with the North’s interests. However, the development forum expressed confidence in the reform’s potential benefits, stating that the proposed tax laws aim to modernize and improve Nigeria’s tax system without adverse effects. President Tinubu and the Federal Executive Council recently introduced legislation to overhaul tax processes, unify revenue collection, and streamline financial obligations for both businesses and citizens. The Northern Economic Development Forum emphasized the importance of thoroughly understanding the proposed bills before opposing them. They announced plans for a comprehensive awareness campaign across the 19 northern states to rally support for the Tax Reform Bills, asserting that the reforms will drive progress in the North and benefit the entire country. In a statement signed by Dr. Mustapha Ibrahim Gusau, the forum explained critical elements of the four bills—the Nigeria Tax Act, Nigeria Tax Administration Act, Nigeria Revenue Service (Establishment) Act, and Joint Revenue Board (Establishment) Act—highlighting that the reforms are intended to clear up misconceptions. READ ALSO: The forum clarified that the new tax policies are not designed to increase the number of taxes but rather to optimize current tax systems without adding complexity. It also stressed that: The Forum highlighted that these bills will harmonize tax laws, enhance efficiency, modernize the tax system, and strengthen coordination among revenue agencies. They are also expected to foster transparency, align with international standards, and expand the tax base. The forum called on Nigerians, particularly in the North, to support the reforms and avoid unnecessary alarm.
