The Federal Government has introduced a new tax collection system aimed at expanding the country’s tax base by integrating small businesses into a simplified and structured compliance framework.
In a statement released Wednesday via the Federal Ministry of Finance’s official X account, the government announced the rollout of a policy document titled “Presumptive Tax Framework.” The initiative is designed to streamline tax payments for traders, artisans, and other micro-enterprises operating largely within the informal sector.
Speaking on the development, the Executive Secretary of the Joint Revenue Board (JRB), Mr. Olusegun Adesokan, clarified that the framework explicitly outlaws the use of roadblocks for tax enforcement.
“It also bans the mounting of roadblocks for the collection of taxes,” Adesokan stated, emphasizing that the new approach seeks to eliminate harassment and arbitrary levy collection practices.
Minister of Finance and Coordinating Minister of the Economy, Wale Edun, described the presumptive tax regime as a reform focused on fairness, simplicity, and predictability for small-scale operators.
“The objective of presumptive taxation is not to overburden small businesses, but to provide a fair, simple, and predictable framework for tax compliance,” Edun said during the official inauguration of the scheme on Tuesday in Abuja.
He further noted that the government’s broader fiscal strategy prioritizes widening the tax net rather than raising existing tax rates.
“Our fiscal strategy is anchored on expanding the tax base rather than increasing tax rates. Inclusion drives sustainability,” the minister added.
The framework marks a significant shift in Nigeria’s revenue mobilization strategy, as authorities seek to formalize the informal sector while addressing long-standing concerns over multiple taxation and enforcement excesses.
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