Northern Groups Kick As Court Okays January 1 Tax Law Implementation

Groups in Northern Nigeria have opposed the implementation of the new tax law, as the Abuja High Court has approved the federal government’s move to begin its implementation on January 1, 2026.

This followed suit, seeking an injunction to restrain the federal government from proceeding.

But a Coalition of Northern Groups (CNG) has strongly condemned President Bola Ahmed Tinubu’s insistence on implementing the newly enacted tax reform laws from January 1, 2026, describing the move as an assault on democracy amid unresolved allegations that the statutes were materially altered after passage by the National Assembly.

Recall that Incorporated Trustees of African Initiative for Abuse Public Trustees (plaintiff), dragged the Federal Republic of Nigeria, President of the Federal Republic of Nigeria, Attorney General of the Federation, President of the Senate, Speaker of the House of Representatives and National Assembly (defendants) to Court over the alleged discrepancies in tax laws.

In a Motion Exparte, the plaintiff is seeking an order of interim injunction pending the hearing and determination of the substantive suit to stop/ restrain the Federal Govt, FIRS, National Assembly, or any of its agencies from implementing, executing, and/or enforcing the any of the provisions of the gazetted Nigeria Tax Act, 2025, Nigeria Tax Administration Act, 2025, the Nigeria Revenue Service (Establishment) Act, 2025 or the Joint Revenue Board of Nigeria (Establishment) Act, 2025 for any reasons pending the hearing and determination of the Motion on Notice.

It is also seeking an order of interim injunction pending the hearing and determination of the motion notice, restraining the President of the Federal Republic of Nigeria, either by himself or through any agency of the Federal Government created under the gazette Nigeria Tax Act, 2025 Nigeria Tax Administration Act, 2025, the Nigeria Revenue Service (Establishment) Act, 2025 or the Joint Revenue Board of Nigeria (Establishment) Act, 2025 from implementing the provisions of those Acts of the National Assembly in any states of the Federation where applicable, pending the hearing and determination of the Motion on Notice.

However, ruling on the matter yesterday, the Court, presided over by Justice Bello Kawu, dismissed the suit, directing the Federal Government to proceed with the full implementation of the tax law.

In a ruling delivered on Tuesday, Justice Kawu struck out the application filed by the plaintiffs, who had prayed the court to issue an injunction restraining the Federal Government and relevant agencies from implementing the new tax regime.

The court held that the suit lacked merit and failed to establish sufficient legal grounds to warrant the granting of the relief sought.

The presiding Judge ruled that the plaintiffs did not demonstrate how the implementation of the new tax law would occasion irreparable harm or violate any constitutional provisions, stressing that matters of fiscal policy and economic reforms fall within the government’s powers as provided by law.

The Court held that once a law is enacted, any error could only be rectified through amendment or a court order, if any, stating that controversies over tax law can’t stop the implementation of a gazetted law except by a court order or an amendment.

Consequently, the court affirmed that there was no legal impediment to the commencement of the new tax law and directed that its implementation should proceed as scheduled from January 1.

However, the CNG unequivocally condemns this posture, which represents an audacious assault on democracy and democratic values, ironically coming from an individual who claims to be a beneficiary and product of democratic struggle.

In a statement issued yesterday by its National Coordinator, Comrade Jamilu Aliyu Charanchi, the CNG expressed grave concern over what it described as credible discrepancies between the versions of the tax laws debated and passed by lawmakers and those eventually transmitted for gazetting.

According to the group, a review of verified facts, expert legal opinions, and submissions by lawmakers and independent observers indicates that the gazetted versions do not reflect what was approved by the National Assembly.

The CNG accused the Presidency, working alongside the Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, of pursuing an ulterior agenda that could worsen the hardship faced by Nigerians through what it termed the reckless enforcement of flawed and legally questionable tax reforms.

Charanchi said: “These discrepancies are not minor drafting errors; they are substantive alterations that strike at the heart of legislative authority, constitutional order, and the rule of law.

“This desperate push, despite glaring procedural breaches and widespread public opposition, betrays a governing mindset increasingly detached from democratic accountability, constitutional restraint, and social responsibility.

Charanchi faulted President Tinubu for what it described as a contradiction between his pro-democracy credentials and his current posture, accusing him of ignoring widespread public calls for the suspension and review of the tax laws.

He added, “Rather than heed the legitimate and widespread calls by Nigerians for the suspension and review of these bills, the Presidency has chosen arrogance over dialogue and coercion over consensus.

“This contradiction between professed democratic credentials and present authoritarian conduct exposes a dangerous erosion of the very values the President once claimed to defend.

“Contrary to the Presidency’s claim that ‘no substantial issue has been established,’ the controversy surrounding the alleged post-passage alteration of the tax laws remains serious, unresolved, and constitutionally significant.

“Any law altered after legislative approval, without fresh debate and re-passage by the National Assembly, cannot be considered valid under Nigeria’s constitutional framework. To insist on enforcing such laws amounts to executive overreach and a direct assault on democratic governance.

“No amount of rhetoric about ‘structural reset’ or ‘once-in-a-generation reforms’ can justify bypassing due process or imposing legislation of questionable legitimacy on Nigerians. This posture only reinforces the suspicion that there is an ulterior motive behind the so-called tax reforms.

“The CNG is equally alarmed by the disgraceful conduct of the National Assembly, which has increasingly abandoned its constitutional role as a coequal arm of government.

“The spectacle of lawmakers openly chanting ‘on your mandate we stand’ during President Tinubu’s appearance in the legislative chamber was not merely embarrassing; it was a public declaration of legislative surrender. A legislature that cannot defend the integrity of laws it claims to have passed has forfeited its independence and betrayed the trust of the Nigerian people.

“By failing to assert its authority in the face of alleged alterations to duly passed legislation, the National Assembly has reduced itself to an appendage of the Executive, undermined the doctrine of separation of powers, and weakened democratic accountability. This conduct erodes public confidence and sets a dangerous precedent that threatens the foundations of constitutional governance in Nigeria.

“If, as the Presidency insists, these tax reforms are people-centred and designed to strengthen the social contract, one must ask: why the desperate rush to implement them on January 1, 2026, amid unresolved disputes, public scepticism, and open disagreement even among lawmakers?

“Why the obsession with speed when Nigerians are already grappling with severe economic hardship, poverty, insecurity, and unemployment? Responsible governance demands caution, transparency, and consensus, not intimidation and executive fiat.

“Millions of Nigerians are already overstretched by economic distress. Any tax reform imposed through questionable processes will only deepen public resentment, weaken state–citizen relations, and reinforce perceptions of injustice, exclusion, and elite insensitivity. The CNG rejects any attempt to railroad Nigerians into compliance with laws whose legitimacy is in doubt.”