FG Forms Committee for New VAT Modification Order

The Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, inaugurated an inter-ministerial committee to draft a new Value Added Tax (VAT) Modification Order to support Nigeria’s Tax Reform Acts, which will take effect on January 1, 2026. The inauguration took place at the Federal Ministry of Finance headquarters in Abuja.

Oyedele stated that the committee's purpose is to develop a modern VAT framework that aligns with the new legislation, rather than recreating the previous VAT Modification Order. The committee's tasks include reviewing the existing VAT administration framework, engaging stakeholders, and drafting a clear VAT Modification Order.

The committee is guided by principles such as fidelity to the law and broad stakeholder engagement. It has six weeks to submit a draft VAT Modification Order 2026, including schedules of VAT-exempt and zero-rated supplies.

Members include representatives from various government and private sector organizations, ensuring a comprehensive approach to the VAT reform.