Nigeria Introduces Personal Income Tax Calculator Ahead of New Tax Regime
In a bid to simplify tax compliance and ensure fairness, Nigerian President Bola Tinubu has unveiled a personal income tax calculator. The tool, launched on Thursday, aims to help Nigerians estimate their tax liabilities under the new tax regime, set to take effect in January 2026.
In a statement on X, President Tinubu explained that the calculator was developed to alleviate the burden on low-income earners and promote equity in the tax system. “With the new tax laws I recently signed, taking effect from January 2026, we have lifted this burden and created a path of equity, fairness, and true redistribution in our economy,” he wrote.
The calculator allows individuals to compare their estimated tax under the new laws with what they currently pay, highlighting the reforms’ progressivity and transparency. According to the President, this tool will enable citizens to better understand their tax obligations and make informed decisions about their finances.
To access the calculator, Nigerians can visit the dedicated website at fiscalreforms.ng. The President has also urged citizens to have faith in the country’s future, as the new tax regime is designed to promote inclusive economic growth and restore fairness in the tax system.
The introduction of the personal income tax calculator is part of a broader tax reform effort in Nigeria. Recently, President Tinubu signed four tax reform bills into law, including the Nigeria Tax (Fair Taxation) Law, the Nigeria Tax Administration Law, the Joint Revenue Board (Establishment) Law, and the Nigeria Revenue Service (Establishment) Law. These laws will come into effect on January 1, 2026, and are aimed at boosting economic growth and promoting fairness in the tax system.
By introducing this calculator, the Nigerian government aims to increase transparency and accountability in the tax system, making it easier for citizens to comply with their tax obligations. As the country prepares for the new tax regime, the personal income tax calculator is seen as a significant step towards promoting economic growth and reducing the burden on low-income earners.
