Lagos Property Tax Revenue Can Reach N1tn Annually

Lagos State has the potential to generate up to N1 trillion annually from property tax if the sector’s potential is fully harnessed, according to Taiwo Oyedele, Chairman of the Presidential Fiscal Policy and Tax Reforms Committee. Oyedele made this statement during the Tax Reform Summit 2026, where he emphasized the need for standardization, transparency, and harmonization of tax practices to reduce compliance costs and improve taxpayer confidence.

Oyedele highlighted the potential for tax revenue from properties, citing that with just two million taxable properties in Lagos valued at N100 million, the state could generate N1 trillion annually in taxes. He stressed that success depends on proper property enumeration, accurate valuation, transparent dealing, and predictable enforcement. Oyedele also emphasized the importance of data in bringing in property tax, stating that a credible database of taxpayers and reliable valuation of properties are critical.

The tax expert challenged Lagos State to demonstrate leadership in data quality and the enactment of a legal framework for tax operations at the subnational level. He encouraged the state to focus on collaborative implementation and to make use of a model tax harmonization law drafted by the Presidential Fiscal Policy and Tax Reform Committee.

Lagos State Governor Babajide Sanwo-Olu reiterated that the success of Nigeria’s tax reform agenda depends largely on effective implementation at the state level. Sanwo-Olu stated that the state is positioning itself as a leading subnational driver of the reforms, with a focus on simplicity, transparency, digital efficiency, and fairness. He emphasized that taxation is a social contract and that people comply willingly when they trust that the government is responsible, accountable, and responsive.

The Special Adviser to the Lagos State Governor on taxation and revenue, Abdul-Kabir Ogungbo, highlighted the need for a standardized revenue portal across all local governments and a transparent framework for revenue mobilization. Ogungbo noted that the state’s annual budgetary estimates should be higher, given its significant economic responsibilities, and that collective efforts are needed to achieve a sustainable revenue target of N10 trillion to N15 trillion annually.

The Tax Reform Summit 2026 aimed to establish a standardized revenue portal and a transparent framework for revenue mobilization, with the goal of creating a stable, fair, and predictable revenue base that supports growth, equity, and inclusive development. The summit underscored the importance of effective implementation at the state level and the need for collaboration between states and local governments to achieve Nigeria’s tax reform agenda.