Nigeria’s Tax Chief Takes New Approach to Win Support for Reforms

The head of Nigeria’s main tax agency is using a different strategy to get people to accept major changes to the country’s tax system. Zacch Adedeji, who leads the Federal Inland Revenue Service (FIRS), is meeting with various groups across the country to explain the reforms before forcing them through.

Background of the Tax Chief

Adedeji came to his current role with strong credentials. He has a first-class degree in Management and Accounting and a master’s degree from Obafemi Awolowo University. He also completed an executive programme at Harvard Kennedy School in the United States.

Before joining FIRS, he worked as Commissioner for Finance in Oyo State, where he successfully increased the state’s internally generated revenue. He also served as Executive Secretary of the National Sugar Development Council, where he introduced democratic leadership and innovative reforms.

President Bola Tinubu first appointed him as Revenue Adviser in 2023, then promoted him to Executive Chairman of FIRS just three months later.

Controversial Tax Reforms

Once in charge of FIRS, Adedeji quickly proposed bold changes to Nigeria’s tax system. These reforms immediately caused heated debates across the country.

The most controversial proposal was to replace FIRS with a new National Revenue Service (NRS). This new body would collect all government revenue, including money from oil, customs, and ports. The goal was to make the process more efficient and stop money from being stolen.

However, critics worried that this would give too much power to one organisation. They said it could become as powerful as the Central Bank of Nigeria or the Nigerian National Petroleum Company.

Regional Opposition

Northern state governors strongly opposed changes to the Value Added Tax (VAT) system. The new formula would share VAT money based on where companies have their headquarters, not where people actually buy goods and services.

The governors argued this would benefit Lagos and Rivers states unfairly, since most big companies have their head offices there. Meanwhile, northern states that buy a lot of goods but have fewer company headquarters would lose out.

Small and medium businesses, especially in the South-East, also complained. They worried the new rules would be too complicated to follow, even though the reforms raised the limit for company income tax from N25 million to N50 million.

False information spread on social media made the situation worse. This forced officials to clarify that the new system would actually protect low-income earners and make things fairer.

Different Approach to Reform

At first, many people saw Adedeji as distant and argumentative. But instead of fighting publicly with critics, he chose a different path. He quietly began meeting with various groups behind the scenes to listen to their concerns.

This was different from previous attempts at tax reform, where the government usually announced new policies without consulting anyone first. Adedeji decided to talk to people first, then make laws later.

He met with business leaders, tax experts, policymakers, and private sector organisations. He listened carefully to their worries and changed some policies based on their feedback.

Building Trust Through Dialogue

Taiwo Oyedele, who chairs Nigeria’s Presidential Fiscal Policy and Tax Reforms Committee, hosted some of these meetings. During these sessions, Adedeji explained that the reforms were not meant to hurt businesses. Instead, they were designed to make taxation simpler, close gaps where money was being lost, and ensure fairness.

One former newspaper editor said this approach helped build trust. “Adedeji made the tax reforms easier to understand, showing that reform was about creating a fair, transparent, and efficient system, not imposing burdens,” the editor explained.

Working with Security Agencies

Adedeji also recognised that taxes cannot work properly without security. For businesses to operate well and for people to pay taxes, the country needs to be stable and safe.

This understanding led him to meet with military and security leaders. He held discussions with Chief of Defence Staff General Chris Musa and other security chiefs. These meetings focused on creating safe environments where businesses and taxable activities can grow.

Cooperation with Customs

Another important part of Adedeji’s strategy was working closely with the Nigeria Customs Service. Since customs duties and trade operations are important for government revenue, he wanted to align FIRS and customs functions.

His goal was to eliminate duplicate work, make trade easier, and improve efficiency at the country’s borders. He worked with Comptroller General Bashir Adewale Adeniyi to achieve this cooperation.

Bridge-Building Leadership

What makes Adedeji different from previous officials is his ability to bring different groups together. He connects policymakers with businesses, revenue authorities with enforcement agencies, and government with citizens.

During a time when many Nigerians are facing economic hardship and do not trust the government, this bridge-building role is very valuable. He shows that talking to people is not a sign of weakness but of strength. He believes that lasting reform comes from agreement, not force.

New Laws Signed

President Tinubu has now signed the tax bills into law, marking a new phase for Adedeji’s work. He understands that the real test is not getting the laws passed, but putting them into practice.

Even the best-designed tax policies will fail if people do not understand, accept, and support them. This is why Adedeji continues to prioritise talking with different groups and working together.

Looking to the Future

By January 2026, the results of Adedeji’s leadership approach will become clear. Success will be measured by whether more people accept the reforms, whether more taxpayers comply with the new rules, whether institutions continue to cooperate, and whether the government generates more revenue.

If his bridge-building strategy works, even businesses that were initially reluctant may gradually start following the new tax rules.

The experience shows that Nigeria’s revenue future depends not only on bold policies but also on leaders who can bring different groups together and inspire collective ownership of reforms.

Adedeji’s approach suggests that successful reform in Nigeria requires patience, dialogue, and the ability to build consensus across different interests and regions.