The Federal Government has assured Nigerians that the new tax laws will not involve monitoring or debiting personal bank accounts based on transfer narrations.
Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, gave the clarification during Channels Television’s end of year special.
He said there is no system anywhere in the world with the capacity to track and tax every individual transaction.
Oyedele explained that bank users should not be worried about how they describe transfers, stressing that no amount transferred, whether small or large, will attract automatic deductions.
According to him, the reformed tax system is built on self declaration.
He said taxpayers are expected to declare their income at the end of the year, stating clearly what qualifies as income and what does not. Those exempted from tax, he added, only need to declare their status without making any payment.
Oyedele also faulted misinformation surrounding the reforms, noting that some content creators earning significant monthly income oppose the policy and mislead the public by claiming government plans to debit bank accounts.
He said the reforms favour small businesses, especially sole proprietors, by reducing multiple levies and simplifying tax obligations.
Oyedele concluded that the new tax framework is designed to protect low income earners, ease compliance for small businesses, and create a fair and progressive tax system for the country.
