Nigeria is set to usher in a new era of revenue administration when the Federal Inland Revenue Service (FIRS) transitions to the Nigeria Revenue Service (NRS) in January 2026. This change follows President Bola Ahmed Tinubu’s signing of tax and revenue reforms earlier this year, which were approved through four major pieces of legislation. The reforms aim to create a structural shift in how the country collects, manages, and accounts for public revenue.
According to Arabinrin Aderonke Atoyebi, Technical Assistant to the Executive Chairman of FIRS, the transition marks a significant change in revenue management, responding to long‑standing public calls for transparency, accountability, and economic growth. The new NRS will be responsible for all federal government revenue, including taxes and other non‑tax sources, and will integrate its systems with those of other revenue‑generating bodies. This integration is expected to strengthen coordination among government agencies and improve oversight of funds entering the Federation Account.
The NRS will also provide a more streamlined experience for taxpayers and businesses. Registration, filing, and payment processes will be simplified, reducing the need for physical visits to multiple offices. Additionally, the reforms include provisions to strengthen data protection and confidentiality, giving citizens greater confidence that their information will remain secure.
The legal backbone of the NRS consists of the Nigeria Tax Bill, the Nigeria Tax Administration Bill, the Nigeria Revenue Service (Establishment) Act 2025, and the Joint Revenue Board (Establishment) Bill. These laws redefine the scope of federal revenue administration and replace the former FIRS Act. Atoyebi emphasized that the reforms go beyond rebranding, stating that the NRS will enable the government to “track what is collected, how it is collected, and where it goes,” describing it as “the Nigeria we have all been asking for.”
The changes are expected to help businesses plan better and improve service delivery to taxpayers. As Nigeria approaches 2026, the shift from FIRS to NRS is widely seen as laying the foundation for a revenue system built on trust and accountability. This new era in revenue administration is poised to bring significant improvements to the country’s revenue management, focusing on transparency, accountability, and economic growth, and is expected to have a positive impact on Nigeria’s economy and its citizens.
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