According to a report by Daily Post on wednesday March 4, 2026, The Federal Government of Nigeria has introduced a new tax collection strategy aimed at improving revenue generation while making tax compliance easier for small businesses. The policy, known as the Presumptive Tax Framework, is designed to help expand the country’s tax base by encouraging more traders, artisans, and micro-enterprises to participate in the formal tax system.
The announcement was made through an official statement released on the social media platform of the country’s Ministry of Finance. The initiative is part of broader economic reforms aimed at strengthening government revenue without placing excessive financial pressure on small-scale operators who are already facing economic challenges.
According to the Executive Secretary of the Joint Revenue Board, Mr. Olusegun Adesokan, the new framework will eliminate the use of roadblocks by tax officials during tax collection operations. He emphasized that the government has officially banned the practice of mounting checkpoints or roadblocks for the purpose of collecting taxes from citizens and business owners. The move is intended to prevent harassment of traders and promote a more transparent tax administration system across the country.
The Minister of Finance, Wale Edun, explained that the presumptive tax policy was developed to support economic growth while ensuring fairness in taxation. He stated that the government’s fiscal strategy focuses on expanding the number of taxpayers rather than increasing tax rates. According to him, many small businesses operate in informal sectors, making it difficult for the government to track and collect revenue. The new framework is expected to simplify tax payments and encourage voluntary compliance.
Edun further explained that the policy is not intended to overburden small businesses with high tax obligations. Instead, it is meant to create a predictable and simple tax system that business owners can easily understand and follow. The minister added that inclusive taxation policies would help strengthen national development efforts by ensuring that more economic actors contribute to public revenue.
Government officials also noted that the new tax regime will help reduce corruption risks associated with manual tax collection methods. By promoting digital and structured tax processes, authorities hope to improve accountability and reduce illegal revenue collection practices by unauthorized agents.
Business groups and economic analysts have welcomed the initiative, stating that it could help improve the relationship between government tax agencies and small business operators. Many believe that simplifying tax processes will encourage more businesses to register and operate within the formal economy.
The federal government has assured citizens that it will continue engaging stakeholders before fully implementing the policy across states. Officials also stated that public awareness campaigns will be conducted to educate small business owners on how the new tax system works and how they can comply without facing penalties.
Overall, the new policy reflects the government’s ongoing efforts to balance revenue generation with economic inclusion. Authorities believe that by widening the tax base and reducing unnecessary enforcement pressure, the country can achieve more sustainable economic growth in the long term.