A university don, Dr. Ochuko Emudainohwo, has hailed the 2025 tax law as a strategic blueprint for inclusive economic growth, capable of repositioning Nigeria for a more diversified and resilient economic future. He urged stakeholders—businesses, policymakers, and citizens—to embrace the reform and contribute to a more accountable and sustainable fiscal environment for national development.
Dr. Emudainohwo, FCA, an Associate Professor of Accounting at Dennis Osadebay University, Asaba, delivered the assessment as Guest Speaker at the Delta Online Publishers Forum (DOPF) 2025 Lecture Series in Asaba. Speaking on the theme, “Nigeria's New Tax Law: Implications and Opportunities for Businesses and Society,” he unpacked the rationale, structure, and benefits of the recently enacted 2025 tax law under President Bola Ahmed Tinubu’s administration.
He explained that taxation remains one of the strongest instruments for national development and stressed that understanding the essence of the new law requires an appreciation of the context in which it was introduced. He identified critical factors driving the reform, including Nigeria’s declining oil revenue capacity, increasing population pressures on public services, and the lingering economic shocks of the COVID-19 pandemic, which exposed the fragility of the country’s revenue system.
These challenges, he noted, compelled the federal government to rethink its fiscal strategy and pursue a more sustainable and inclusive approach to revenue generation. At the heart of the 2025 tax law is the goal of reducing Nigeria’s overdependence on oil revenue. The new framework consolidates income taxes and company taxes into a single tax net, simplifying compliance and eliminating administrative bottlenecks.
Describing the reform as “pro-people,” Dr. Emudainohwo stated that it was crafted not only to boost government earnings but also to stimulate broad-based economic growth. “The law supports Small and Medium-Scale Enterprises (SMEs). Companies with an annual turnover of less than N50 million are now exempted from capital-based taxes and company income taxes,” he said. He argued that this exemption will ease the burden on small businesses, encourage entrepreneurship, and drive innovation.
Dr. Emudainohwo further spotlighted the law’s focus on transparency and modernisation. With strengthened digital tax platforms, he said the legislation enhances accountability, improves efficiency, and minimises leakages across the revenue system.
