A REVIEW OF DIGITAL REFORMS UNDER THE 2025 NIGERIAN TAX REGIME

Abstract

It is incontrovertible that Nigeria's 2025 tax reforms place much premium on digitization and digital harmonization of different tax processes and administration. The puzzle that underpins this paper is the sustained inefficiency, compliance shortfalls and administrative opacity that has typified Nigeria’s tax regime for so long thereby constraining its ability to drive development. This study seeks to investigate the breadth and the legal foundation as well as the practical effects of a series of digital reforms that came into force under 2025, in particular their implications for compliance, accountability, and taxpayer engagement. Applying a doctrinal legal methodology, the study examines legislative instruments, policy statements and court decisions to assess levels of convergence with global benchmarks in digital tax. This study argues that despite the fact that the 2025 digital tax skeleton is progressive in theory, it suffers from structural and infrastructural limitations that may impede its full realisation. The paper recommends that continued coordination by institutions, cybersecurity considerations and taxpayer education etc. are essential to the successful long-term transition of Nigeria into digital tax. It proposes the reinforcing of regulatory frameworks and harmonisation of data systems, while integrating digital ethics into tax governance.