Businesses, taxpayers and investors now have clearer guidance on how Nigeria’s sweeping tax reforms will be implemented after the Federal Government released transition guidelines for the Tax Acts 2025 which commenced on January 1, 2026.
The guidelines, issued by the Federal Ministry of Finance, outline how tax liabilities, audits, investigations, disputes and enforcement actions that relate to periods before the commencement of the new laws will continue to be treated under the repealed tax framework.
According to the government, tax returns relating to accounting periods ending before January 1, 2026, will be filed under the previous tax laws, while returns due from that date onward will be administered under the new tax regime.
The guidelines cover a broad range of issues, including the treatment of income taxes, transaction taxes, development levies, tax incentives, exemptions, record-keeping obligations and transactions that span both the old and new tax systems.
One of the key provisions is that existing tax incentives and exemptions granted under repealed laws will remain valid until their expiration dates. However, new applications and pending requests will be assessed under the provisions of the Tax Acts 2025.
