The Minister of Finance and Coordinating Minister of the Economy says Nigeria’s tax challenge is rooted in compliance rather than tax rates, urging greater fairness in tax administration.
Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, has said Nigeria is still not generating enough revenue from taxation despite ongoing fiscal reforms, stressing that the country’s challenge lies in poor tax compliance rather than low tax rates.
Speaking at the investiture ceremony of the Chartered Institute of Taxation of Nigeria (CITN) in Abuja, Oyedele said the focus should not be on increasing taxes but on ensuring that individuals and businesses that are required to pay taxes fulfil their obligations within a fair and transparent system.
According to him, Nigeria continues to fall short of its revenue potential because many eligible taxpayers remain outside the tax net. He maintained that improving compliance would strengthen government revenue without imposing additional tax burdens on compliant citizens and businesses.
Oyedele also commended the Chartered Institute of Taxation of Nigeria for supporting the Federal Government’s tax reform agenda and promoting public understanding of taxation. He urged the institute to sustain efforts aimed at increasing tax awareness and encouraging voluntary compliance across the country.
His remarks come as the Federal Government continues implementing reforms designed to improve Nigeria’s fiscal framework and expand domestic revenue generation through a more efficient and equitable tax system. The minister reiterated that fairness in tax administration remains central to achieving those objectives.