In a major step toward streamlining the country’s tax architecture, the Minister of Finance and Coordinating Minister of the Economy, Mr. Taiwo Oyedele, Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, has inaugurated an Inter-Ministerial Committee on the Value Added Tax (VAT) Modification Order 2026.
In a post on its X handle, Friday, the Federal Ministry of Finance said the ceremony, held at its headquarters in Abuja, officially tasked the panel with drafting a comprehensive framework to support the implementation of Nigeria’s landmark Tax Reform Acts, which took effect on January 1, 2026.
Speaking at the inauguration, the Minister underscored the significance of the new legislative environment, describing it as a turning point for national development.
”The Tax Reform Acts represent the most comprehensive reform of Nigeria’s tax system in decades,” the Minister stated “They simplify our tax laws, improve certainty, enhance competitiveness, protect vulnerable Nigerians, and position our economy for sustainable growth.”
While the new legislation supersedes the previous VAT framework, the Minister emphasized that the committee’s duty is not to replicate past measures, but to construct a “modern, coherent, and forward-looking VAT Modification Order that complements the new law and supports Nigeria’s economic transformation.”
The newly formed committee is mandated to review existing VAT administration frameworks, engage public and private sector stakeholders, develop comprehensive schedules of VAT-exempt and zero-rated supplies with corresponding HS Codes, draft the final order, and recommend statutory amendments where necessary.
To ensure success, five core principles were outlined to steer the panel’s deliberations: fidelity to the law, growth-oriented design, clarity and certainty, broad stakeholder engagement, and international benchmarking.
”This Order should promote industrialisation, investment, exports, innovation, food security, and energy transition, without undermining the integrity of the VAT system,” the Minister added.
Reflecting a collaborative strategy, the panel draws representatives from key public and private entities, including the Federal Ministry of Finance, Nigeria Revenue Service, Nigeria Customs Service, Ministry of Industry, Trade and Investment, Joint Revenue Board, Manufacturers Association of Nigeria (MAN), Tax Advisory Committee, and the Tax Justice and Governance Platform.
”The membership of this Committee brings together deep knowledge, expertise, and experience from across government and the private sector,” Oyedele noted.
The committee has been given a strict six-week deadline to submit its final deliverables, including the draft order, implementation notes, and stakeholder consultation report.
