The Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, Taiwo Oyedele, has strongly defended the Nigeria Tax Act (NTA), dismissing claims by KPMG Nigeria that the law contains errors, gaps and contradictions.
Oyedele made the clarification in a statement issued on Saturday in response to KPMG’s recent analysis of the new tax laws, in which the firm highlighted what it described as “errors, inconsistencies, gaps, omissions and lacunae” and called for urgent reviews.
While welcoming professional feedback, Oyedele said most of KPMG’s conclusions were based on a misunderstanding of the policy intent behind the reforms rather than actual flaws in the law.
“We welcome all perspectives that contribute to a shared understanding and successful implementation of the new tax laws,” Oyedele said. “We acknowledge that a few points raised by KPMG are useful, particularly where they relate to implementation risks and clerical or cross-referencing issues.”
However, he stressed that the bulk of KPMG’s publication misrepresented deliberate policy choices made under the reform.
“The majority of the publication reflected a misunderstanding of the policy intent, a mischaracterisation of deliberate policy choices, and, in several instances, repetitions and presentation of opinion and preferences as facts,” he said.
According to Oyedele, many of the issues labelled as “errors” or “gaps” by KPMG fall into several categories, including the firm’s own analytical errors, failure to properly understand certain provisions, missed context around broader reform objectives, and preferences for alternative policy outcomes rather than actual defects in the law.
“While it is legitimate to disagree with policy direction, disagreements should not be framed as errors or gaps,” he added.
Oyedele also faulted KPMG for not engaging directly with policymakers during the reform process, noting that other professional firms provided input through consultations that allowed for clarification and mutual learning.
What Oyedele Says KPMG Overlooked
After responding point by point to KPMG’s concerns, Oyedele said the firm failed to acknowledge major structural improvements introduced by the new tax laws.
He listed key benefits of the reform to include simplification and harmonisation of taxes, the potential reduction of corporate income tax from 30 per cent to 25 per cent, expanded input VAT credits for businesses, tax exemptions for low-income earners and small businesses, elimination of minimum tax on turnover and capital, and improved investment incentives for priority sectors.
“A balanced assessment would have recognised these transformative elements, among others,” he said.
Conclusion and Way Forward
Oyedele emphasised that the tax reform was the product of extensive stakeholder consultations and a transparent legislative process that included widely publicised public hearings.
He acknowledged that minor clerical inconsistencies or cross-referencing gaps can occur in any major overhaul of a tax system but said such issues are already being identified and addressed within government.
“The tax reform represents a bold step toward a self-sustaining and competitive Nigeria,” Oyedele stated, adding that effective implementation will depend on administrative guidance, clarifications from tax authorities, and supporting regulations pending future amendments.
He urged stakeholders to move beyond what he described as “static critique” and instead embrace continuous engagement to ensure the successful implementation of the new tax laws.
“We urge all stakeholders to pivot to a dynamic engagement model that allows for clarifications and a productive partnership in implementing the new tax regime,” Oyedele said.
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