Taiwo Oyedele, chairman of the Presidential Fiscal Policy and Tax Reforms Committee, has dismissed reports that foreign investors are frustrated with Nigeria’s new capital gains tax (CGT) as misleading and inaccurate. He said that media coverage misrepresented his recent engagement with investors and that the feedback he received contradicts the negative views being reported.
The new CGT, one of four tax‑reform bills approved by President Bola Tinubu in June, is designed to improve revenue mobilisation and ensure that investors who profit from share sales pay tax on their net gains above a set threshold. Shares sold for less than N150 million and reinvested gains are exempt from the tax. Oyedele’s clarification came after news emerged that investors were dissatisfied with the government’s plan to impose a 10 percent tax on share sales as part of the Tax Reform Acts slated to take effect in January.
According to Oyedele, about 80 percent of participants who gave feedback after the event rated the engagement 9 or 10 out of 10, with an overall average score of 8.6, refuting claims of frustration and unease. He also addressed concerns that the new rule would harm Nigeria’s investment climate, noting that the absence of CGT does not make an economy competitive. Advanced capital markets such as the United States, United Kingdom and South Africa apply CGT and remain attractive to investors. Both local and foreign investors benefit from the exemptions based on thresholds and reinvestment; tax is levied only when those thresholds are exceeded without reinvestment.
Oyedele warned against intentional misreporting by reputable media outlets, which he believes could distort public understanding of government policies. He stressed the importance of professional journalism, diligence and independent verification of facts. His team remains focused on implementing reforms that will make Nigeria’s tax system simpler, fairer and more supportive of economic growth.
The fiscal reforms are part of a broader effort to boost non‑oil revenue and deepen growth by eliminating obsolete taxes that have hindered expansion, especially in the informal sector. The new CGT is a key component of these reforms, aiming to improve revenue mobilisation and ensure that investors contribute fairly to the economy. As the Tax Reform Acts approach implementation, accurate and balanced reporting is essential to avoid misinformation and promote clear understanding of the government’s policies.
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