FG Sets Fresh Timeline for Enforcement of New Tax Laws, Targets Full Rollout by 2028
- Nigeria's new tax laws to enforce full compliance by January 2027 after structured stakeholder engagement
- Medium-sized companies will be the first to adopt the new e-invoicing system starting in 2026
- NRS upgrades infrastructure to facilitate a digital tax compliance framework by 2028, enhancing transparency and efficiency
Pascal Oparada is a journalist with Legit.ng, covering technology, energy, stocks, investment, and the economy for over a decade.
The Federal Government has announced a fresh timeline for enforcing Nigeria’s new tax laws, with full compliance expected to begin toward the end of the year or by January next year.
The update was disclosed by the Nigerian Revenue Service (NRS) during an e-Invoicing Compliance Workshop held on February 18, 2026, in collaboration with E-Transact.
Source: Facebook
According to officials, enforcement will follow months of stakeholder engagement and pilot testing designed to ease businesses into the new regime.
Project Manager for e-Invoicing Implementation at the NRS, Mohammed Bawa, explained that the agency will first embark on a structured engagement phase before activating compliance measures.
Three-phase rollout before enforcement
The enforcement plan will unfold in stages.
First, the NRS will carry out a three-month secondary engagement in the first quarter to sensitise taxpayers on the implications of non-compliance. This will be followed by a three-month pilot programme to test systems and address operational gaps.
Only after these phases will the agency formally announce full enforcement, projected for late 2026 or January 2027. However, a complete transition across all sectors is expected by January 2028.
Bawa noted that the rollout will not happen simultaneously for all taxpayers. Instead, compliance will be phased in to allow the system to scale efficiently and address emerging challenges.
Medium-sized companies first in line
A newly signed public notice outlines sector-specific timelines. For 2026, the focus will be on medium-sized taxpayers with annual turnovers between N1 billion and N5 billion.
This targeted approach, according to officials, is meant to streamline implementation while allowing the NRS to refine infrastructure and processes before expanding coverage to other categories.
New portals, simulations and expanded infrastructure
To support the transition, the NRS says it has upgraded its infrastructure and introduced multiple engagement channels for taxpayers.
Among the new tools is a simulation portal that allows businesses to practice generating and transmitting invoices electronically before going live.
The agency has also launched an engagement portal where taxpayers can schedule consultations and receive guidance on compliance requirements.
Bawa said additional servers have been procured to strengthen connectivity and data storage capacity, reducing the risk of system disruptions as more businesses come onboard.
The NRS maintains that engagement will remain continuous, with improvements made based on taxpayer feedback.
Digital push to curb manual processes
Speaking at the workshop, Executive Director of E-Transact, Abubakar Achimogo, said the broader objective of the reform is to eliminate manual processes and digitise tax collections.
He explained that the new system is designed to simplify payments, enhance transparency and protect taxpayers from multiple or duplicate charges, according to a report by Daily Sun.
Under the digital platform, taxpayers receive instant notifications detailing what they have paid for, creating a documented and traceable process.
According to Achimogo, the platform is built to be user-friendly across literacy levels and accessible through multiple application channels, making compliance easier for businesses nationwide.
What it means for businesses
With enforcement now tied to a phased timeline, businesses have a limited window to align their systems with the new requirements.
The government’s message is clear: engagement and support will precede enforcement, but compliance will eventually be mandatory.
Source: Facebook
Companies within the N1 billion to N5 billion turnover bracket are first in line and are expected to begin preparations immediately.
By 2028, Nigeria aims to complete the transition to a fully digital tax compliance framework, marking one of the most significant overhauls of the country’s tax administration system in recent years.
State-by-state breakdown of VAT sharing formula
Legit.ng earlier reported that Nigeria’s fiscal landscape is set for a major shift in 2026 as a new Value Added Tax sharing formula takes effect under the recently enacted National Tax Acts.
The change, approved by the Federal Executive Council and captured in the 2026–2028 Medium-Term Expenditure Framework and Fiscal Strategy Paper, significantly increases the share of VAT revenue flowing to states, reinforcing the push toward deeper fiscal federalism.
Under the new framework, the 36 states are projected to receive a combined N5.07tn from VAT in 2026, representing 55 per cent of the total distributable VAT pool of N9.23tn.
Source: Legit.ng
