Nigeria begins major revenue reset as FIRS gives way to NRS in 2026

Nigeria is set to enter a new phase in its revenue administration as the Federal Inland Revenue Service (FIRS) formally gives way to the Nigeria Revenue Service (NRS) from January 2026, following the signing of far-reaching tax and revenue reforms by President Bola Ahmed Tinubu. The transition, approved through four major pieces of legislation signed […]

Nigeria is set to enter a new phase in its revenue administration as the Federal Inland Revenue Service (FIRS) formally gives way to the Nigeria Revenue Service (NRS) from January 2026, following the signing of far-reaching tax and revenue reforms by President Bola Ahmed Tinubu.

The transition, approved through four major pieces of legislation signed into law on 26 June 2025, is being described as a structural shift in how the country collects, manages and accounts for public revenue.

According to Arabinrin Aderonke Atoyebi, the change marks “a change in how our country manages revenue” and responds to long-standing public calls for transparency, accountability and economic growth.

The laws include the Nigeria Tax Bill, the Nigeria Tax Administration Bill, the Nigeria Revenue Service (Establishment) Act, 2025, and the Joint Revenue Board (Establishment) Bill. Together, they form the legal backbone for the new NRS, replacing the former FIRS Act and redefining the scope of federal revenue administration.

Atoyebi stressed that the reforms go beyond rebranding. “This is not about giving the agency a new name,” she said, noting that the NRS now has responsibility for “all federal government revenue, including taxes and other non-tax sources.”

The expanded mandate is expected to strengthen coordination among government agencies and improve oversight of funds entering the Federation Account.

Under the new framework, the NRS will administer both tax and non-tax revenue, integrating its systems with those of other revenue-generating bodies.

This, Atoyebi argued, would allow the government to “track what is collected, how it is collected, and where it goes,” a development she described as “the Nigeria we have all been asking for.”

For taxpayers and businesses, the reforms promise a more streamlined experience. Registration, filing and payment processes are expected to be simplified, reducing the need for physical visits to multiple offices.

“Registration, filing, and payment will be straight to the point,” Atoyebi said, adding that the changes would help businesses plan better and improve service delivery to taxpayers.

The reforms also include provisions to strengthen data protection and confidentiality, an issue that has often concerned taxpayers.

According to the author, “confidentiality is clearly protected,” giving citizens greater confidence that their information will remain secure. The laws also encourage collaboration across government institutions to enhance efficiency.

Attention has also focused on agency leadership as Atoyebi praised the Executive Chairman of FIRS, Dr Zacch Adedeji, describing him as “prepared, focused, and ready to tackle the work head-on”.

She said that in just two years, “structures are in place, systems are being streamlined, and the agency is becoming an institution Nigerians can trust.”

She credited the transition to a collective effort involving the Presidential Committee on Fiscal Policy and Tax Reforms, chaired by Taiwo Oyedele, the National Assembly, tax experts and public servants. Their combined work, she said, had made the NRS vision a reality.

As Nigeria approaches 2026, the shift from FIRS to NRS is widely seen as laying the foundation for a revenue system built on trust and accountability.

“2026 is no longer just another year. It marks the start of a revenue era built on trust, accountability, and progress for every Nigerian,” Atoyebi said.