From FIRS to NRS: Inside Nigeria’s Quiet but Significant Tax Reform
- Nigeria has transitioned from FIRS to NRS, marking a pivotal reform in tax administration
- NRS focuses on operational efficiency, taxpayer engagement, and technology integration for improved revenue collection
- New tax strategies aim to ease burdens on low-income earners and support voluntary compliance
Nigeria’s tax administration has entered a new and quietly consequential phase with the successful transition from the Federal Inland Revenue Service (FIRS) to the Nigeria Revenue Service (NRS).
While the change attracted little public drama, officials say it represents one of the most important structural reforms in the country’s revenue system in years.
Source: Facebook
According to Arabinrin Aderonke Atoyebi, Technical Assistant on Broadcast Media to the Executive Chairman of NRS, the transition goes far beyond a change of name.
She described it as “a defining moment in the evolution of Nigeria’s tax administration,” anchored on efficiency, fairness and long-term national development.
A carefully managed transition
Atoyebi explained that the reform was deliberately designed to prioritise stability and continuity, ensuring there were no disruptions to revenue collection during the transition period.
“Existing systems, processes, and human capital have been carefully integrated into the new framework to ensure that revenue collection remains uninterrupted,” she noted.
During the transition phase, the focus was on harmonising operational structures, redefining staff roles in line with the new mandate and embedding a service-driven culture across the organisation. With these foundational steps largely completed, NRS has now moved beyond internal restructuring.
From structure to performance
With staff and leadership now fully settled, the Service is shifting attention to performance delivery.
Atoyebi said the next phase would be defined by operational efficiency, stronger compliance mechanisms and deeper engagement with taxpayers and other stakeholders.
The goal, she noted, is not just to collect more revenue but to do so in a way that builds trust and confidence in the tax system.
Technology at the core
A major pillar of the reform is the aggressive deployment of technology to modernise tax administration.
Digital platforms are expected to streamline tax registration, filing, payments and dispute resolution, while automation and data analytics will help reduce leakages and improve accuracy.
“By leveraging technology, NRS aims to reduce human bottlenecks, improve turnaround times, and deliver real-time services that align with global best practices,” Atoyebi said.
Risk-based compliance strategies supported by data analytics are also expected to strengthen enforcement while making the system more transparent.
Fairness and ease for taxpayers
Beyond efficiency, the NRS reform places strong emphasis on easing the tax burden for ordinary Nigerians.
Low-income earners, small businesses and operators in the informal sector are expected to benefit from simplified tax regimes, clearer guidance and more accessible digital tools.
These measures, officials say, are designed to encourage voluntary compliance while expanding the tax base without stifling economic activity.
Atoyebi stressed that fairness remains central to the new approach, noting that the Service is committed to “taxing profits, not survival; taxing growth, not struggle,” while also promoting accountability in the use of public funds.
A New chapter for revenue administration
She described taxation as a shared responsibility between citizens and government, arguing that fair treatment of taxpayers and responsible management of revenue are essential for broad societal benefits.
“The emergence of NRS marks the beginning of a new chapter in Nigeria’s revenue administration,” Atoyebi said. With the right mix of leadership, technology and public trust, the Service now has a rare opportunity to redefine how taxes are collected and perceived across the country.
Source: Twitter
Nigerians react as FG launches new name, logo
Legit.ng earlier reported that the Nigeria Revenue Service (NRS) has officially launched its corporate brand identity, signifying the formal changeover from the former Federal Inland Revenue Service (FIRS) to the newly constituted national revenue body.
The agency became fully operational after President Bola Tinubu signed the Nigeria Revenue Service Establishment Act 2025 into law in June.
This legislative move laid the foundation for the restructuring of Nigeria’s revenue administration system.
Proofreading by James Ojo, copy editor at Legit.ng.
Source: Legit.ng
