Nigeria Revenue Service Boss Clarifies No Automatic Bank Deductions Under New Tax Law

The Executive Chairman of the Nigeria Revenue Service (NRS), Adedeji, addressed public concerns regarding the implementation of a new tax reform, emphasizing that there will be no automatic deductions from bank accounts. Adedeji clarified that the tax system in Nigeria is strictly profit-based and not asset-based, debunking claims of unauthorized transfers or deductions.

The reform aims to simplify compliance and modernize tax collection, with a commencement date of January 1, 2026. Adedeji highlighted that the reform supports existing tax levies, including those for education and security.