‘Tax Harmonisation To Boost Food Availability, Curb Inflation’

The Chartered Institute of Taxation of Nigeria (CITN) has said the resolution of state governors to harmonise levies and remove illegal roadblocks impeding the smooth transportation of agricultural produce across Nigeria will not only improve food supply but also curb inflation in the country.

State governors had last Wednesday at the end of the Nigeria Governors’ Forum (NGF) meeting resolved to eliminate illegal roadblocks and harmonise levies imposed on the transportation of agricultural produce across Nigerian states.

Commenting on the move, the president and chairman of Council of the CITN, Innocent Ohagwa, stated that the widespread imposition of illegal levies and multiple taxes on agricultural transportation has disrupted supply chains and adversely impacted food affordability across the nation.

Whilst commending the resolution of the NGF, he said if uniformly implemented across all states, the removal of roadblocks and harmonization of levies “will not only improve food availability but also enhance public trust, reduce cost-push inflation, and support the livelihoods of millions of Nigerians.

“We urge the state governors to closely monitor their local government chairmen and the chairmen of their States Internal Revenue Service to ensure the full implementation of this directive. The executive secretary of the Joint Tax Board should liaise with the Inspector-General of Police to implement this directive.”

He furthered that state governors too should ensure the implementation of statutory allocation of the required percentage of the State Internally Generated Revenue to their local government councils in order to cushion the funding pressure on the local government councils

Ohagwa  noted that as the professional body statutorily empowered to regulate tax practice in Nigeria, CITN has long advocated against multiplicity of taxes and unregulated collection practices. “These practices increase compliance burdens, discourage investment, and ultimately result in revenue losses for the government.

“CITN calls on all tiers of government to continuously implement people-centred reforms that will improve the standard of living, reduce the cost of doing business, and foster inclusive economic growth.

The NGF had come to the resolution, following a briefing by the National Security Adviser and key ministers on the implications of checkpoint proliferation and unregulated taxation, is a step in the right direction towards improving the food supply chain and addressing food inflation—reported at 21.14 per cent in May 2025, an increase of 2.19 per cent compared to the previous month.