Finance Minister and Coordinating Minister of the Economy, Taiwo Oyedele, has established an Inter-Ministerial Committee tasked with creating the 2026 Value Added Tax (VAT) Modification Order. Efe Ovuakporie, the Ministry’s spokesperson, announced the committee’s inauguration in Abuja this past Friday, emphasizing its role in the successful rollout of Nigeria’s updated tax legislation.
Led by Permanent Secretary Raymond Omachi, the committee is responsible for ensuring the new VAT framework supports the Nigeria Tax Act of 2025. Minister Oyedele noted that the previous VAT order is now outdated and that the new iteration must provide clarity, reduce compliance burdens for businesses, and foster a more competitive economic environment. He highlighted that these reforms represent the most significant update to the nation’s tax system in many years, aimed at protecting vulnerable citizens while promoting sustainable growth.
The Minister instructed the team to thoroughly evaluate existing administrative and legal practices, specifically focusing on VAT exemptions and zero-rated provisions. The committee has been directed to consult widely with private sector stakeholders, professional organizations, and government entities to ensure the new guidelines are practical and effective. Their mandate includes finalizing a comprehensive schedule of supplies, considering both social impacts and international trade commitments.
Members have a six-week window to deliver a draft that includes implementation notes and recommendations for necessary legislative amendments. The committee features representatives from key bodies such as the Nigeria Revenue Service, the Nigeria Customs Service, the Manufacturers Association of Nigeria, and the Tax Advisory Committee. Oyedele expressed full confidence in the group’s ability to deliver a robust framework that brings stability to the tax system and boosts investor confidence across the country.
