Tax Reforms Will Not Deepen Hardship for Poor Nigerians — Former Senate Leader, Lagos APC Reassures

IBADAN — A former Senate Leader, Senator Teslim Folarin, has called on Nigerians to remain calm, properly informed, and supportive of the ongoing tax reform initiatives introduced by President Bola Ahmed Tinubu, emphasizing that the policies are not designed to punish low-income citizens but to reposition Nigeria’s revenue framework for long-term national growth.

Senator Folarin made this clarification during his tour across the Irepo/Olorunsogo/Orelope Federal Constituency as well as the Atisbo/Saki West/Saki East Federal Constituencies. According to him, widespread misconceptions surrounding the new tax laws have created unnecessary anxiety among citizens, especially the economically vulnerable.

He stressed that the reforms are not intended to impose additional financial strain on ordinary Nigerians. Instead, they are focused on restructuring the tax system to ensure fairness, transparency, and sustainability.

According to the former Senate Leader, the objective of the reform is to enhance efficiency in tax collection, block revenue leakages, and reduce Nigeria’s long-standing dependence on crude oil as the primary source of government income. He noted that Nigeria’s tax-to-GDP ratio remains one of the lowest globally, a challenge that limits the government’s capacity to adequately fund essential sectors without excessive borrowing.

He explained that sectors such as infrastructure development, public healthcare, education, and national security require sustainable funding, which can only be achieved through a more effective and equitable tax system. Without reforms, the country risks deepening fiscal deficits and increasing its reliance on debt.

Senator Folarin further reassured Nigerians that low-income earners remain protected under the new framework. Existing income thresholds, statutory exemptions, and protective measures are still in place to shield the poor from increased tax obligations. He stated that the greater burden of tax compliance will fall on high-income individuals, large corporations, and economic sectors that have historically demonstrated weak compliance.

In his words, the reforms are structured to ensure that those with greater financial capacity contribute more, while vulnerable groups are safeguarded. This, he said, aligns Nigeria’s tax structure with global best practices in progressive taxation.

Lagos APC: Tax Reform Is Not a Tool Against the Poor

Echoing similar sentiments, the All Progressives Congress (APC) in Lagos State has also reassured Nigerians that the tax reform policy is not a weapon against the poor or an attempt to overburden struggling households.

In a statement issued by the party’s spokesperson, Mr. Seye Oladejo, titled “Beyond Politics: The Truth About the New Tax Reform,” the party stressed the importance of separating facts from political propaganda.

According to the statement, it is crucial, in the interest of national stability and informed civic participation, to clarify misconceptions surrounding the reform beyond partisan considerations. The APC emphasized that the new tax framework is deliberately structured to protect low-income earners, expand exemptions, and introduce a fairer, more humane tax system.

Mr. Oladejo stated that Nigerians within the lowest income brackets are either fully exempted or will experience reduced tax exposure under the new regime. He dismissed claims suggesting otherwise as misleading and alarmist narratives promoted by political opposition.

The Lagos APC noted that the reform is anchored on three key principles: efficiency, equity, and accountability. According to the party, the aim is to build a tax system that promotes fairness while ensuring that those who have historically avoided their responsibilities are held accountable.

The statement further described attempts to misrepresent the policy as either a product of ignorance or deliberate misinformation driven by political desperation. It maintained that, beyond fear-mongering and propaganda, the truth remains that Nigeria is laying the groundwork for a stronger, fairer, and more sustainable economic future.