Nigeria to Forfeit N1.4 Trillion in 2026 Through 5% Cut in Corporate Income Tax

The Nigerian government, led by Taiwo Oyedele, aims to forfeit N1.4 trillion in 2026 by reducing the Corporate Income Tax (CIT) rate from 30% to 25%. This move is part of a new tax reform framework to boost economic growth without introducing new taxes.

The Federal Inland Revenue Service (FIRS) data shows that CIT collections were N8.6 trillion in 2024. The tax reform focuses on sustaining government revenue, economic expansion, job creation, and supporting businesses by removing bottlenecks and reducing costs.

The reform also includes changes to the Value Added Tax (VAT) regime effective from January 2026.