By Daniel Abia, P/Harcourt
Nigerians have been urged to view the tax reforms of the President Bola Ahmed Tinubu administration as a tool for national development rather than a punitive measure that could worsen their economic challenges.
Senator Osita Izunaso made the call while advocating effective implementation of the new tax framework, stressing that increased taxation must be matched by improved public services, transparency and accountability.
Speaking at the ongoing Nigerian Bar Association, NBA, conference in Port Harcourt, Rivers State, on the theme, “Pay Now, Prosper Later: Making Nigeria’s New Tax Reforms Work in Practice,” Izunaso said the success of the reforms would depend less on the passage of legislation than on the effectiveness of their implementation.
He said the reforms should not be viewed simply as an attempt by government to generate more revenue, but as an effort to establish a tax system that is simpler, fairer, more transparent and easier to administer while generating resources for sustainable national development.
“The principle should be straightforward: everybody should contribute according to the law and according to their capacity, but nobody should be subjected to an arbitrary or unnecessarily burdensome tax system,” he said.
Izunaso identified mass sensitisation and taxpayer education as priorities for successful implementation, arguing that voluntary compliance would be difficult if citizens did not understand their obligations.
He called for a sustained national campaign to explain, in simple language, who is liable to pay tax, what income is protected, the obligations of businesses, how VAT operates, how taxpayers can obtain and use their Tax Identification Number, when returns are due, available deductions and exemptions, and taxpayers’ rights.
He said the campaign should extend beyond Abuja and major cities to markets, artisans, farmers, small and medium-sized enterprises, professionals, employees and operators in the informal sector through radio, television, social media, community organisations, traditional institutions and religious bodies.
Izunaso said taxpayers should not have to engage professionals simply to understand basic tax obligations, insisting that registration, filing, payment, invoicing and record-keeping should be made as simple and digital as possible.
“Technology must be used not merely to collect more data, but to reduce the cost and inconvenience of compliance,” he said, urging revenue authorities to provide simple digital tools, clear guidance, standard templates and accessible help desks.
On enforcement, the senator said tax administration must be based on certainty, consistency and fairness, with revenue officials applying the law uniformly to businesses and individuals.
He also advocated a strong taxpayer-rights culture, saying taxpayers should have access to clear assessment procedures, timely dispute resolution and effective channels for complaints.
Izunaso described the establishment of the office of the Tax Ombudsman as “a step in the right direction”, adding that government must continually demonstrate that tax compliance does not amount to surrendering citizens’ rights under the law.
The senator identified public trust as a critical factor in the success of the reforms, describing taxation as a social contract between citizens and government.
He said citizens contribute part of their income because they expect government to use the resources responsibly to provide security, infrastructure, education, healthcare, justice and other public goods.
“Government cannot simply say to Nigerians, ‘Pay your taxes.’ Government must also demonstrate, ‘This is what we are doing with your taxes,’” he said.
According to him, increased tax revenue must therefore be accompanied by greater transparency, accountability and visible delivery of public services.
Izunaso said Nigerians should be able to see a clear connection between the taxes they pay and the roads, schools, hospitals, security, electricity, water and other public investments those resources help to finance.
He also urged government to strengthen monitoring of public expenditure, reduce waste, ensure transparency in procurement and tackle corruption.
The senator said demonstrating that tax revenue was being translated into productive investment, improved public services, job creation and an environment conducive to business growth would make compliance a civic responsibility rather than merely a legal obligation.
On the informal economy, Izunaso urged government to bring informal businesses into the tax system through incentives rather than intimidation.
He noted that millions of Nigerians operate small businesses and informal enterprises and may not be unwilling to contribute, but are often excluded from the formal system because of complexity, limited information or concerns about dealing with multiple government agencies and levies.
He advocated simplifying registration and taxation while linking formal participation to genuine economic benefits, including access to government programmes, procurement opportunities, finance and other services.
“The principle should be that the tax system supports productive enterprise rather than inadvertently discouraging it,” he said.
Izunaso added that provisions creating unnecessary burdens or ambiguities should be reviewed and improved through the appropriate legislative process.
He also highlighted the role of the Nigerian Bar Association in the reform process, saying lawyers were not only advisers to taxpayers but also officers of the law and important participants in public policy development.
He said the NBA could support public tax education and sustained engagement with taxpayers as the new reforms move from legislation to implementation.
Ultimately, Izunaso said the credibility of the “Pay Now, Prosper Later” message would depend on whether Nigerians could see a credible pathway from taxation to development.
“The ‘prosper later’ part cannot remain a slogan,” he said, insisting that government must demonstrate that additional revenue is being translated into productive investment, better public services, job creation and an environment conducive to business growth.
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