The 2023 presidential candidate of the Labour Party and former governor of Anambra State, Peter Obi, has called on the Federal Government to immediately halt the enforcement of the controversial new tax law.
In a statement on Tuesday, January 13, Obi claimed that it is now undeniable that the tax laws have been fundamentally altered. He cited a report by KPMG which identified 31 critical problem areas, ranging from drafting errors to major policy contradictions and administrative gaps.
According to Obi, the findings should compel any responsible government to act without delay. He noted that it is deeply concerning that such serious issues only came to light after private meetings between the National Revenue Service and KPMG.
“If experts need closed-door discussions to make sense of our tax laws, what hope does the average Nigerian have of understanding the obligations being imposed on them?” he asked.
Obi stressed that taxation goes beyond fiscal policy and represents a social contract between the government and its citizens. He argued that a social contract cannot be enforced if it is neither understood nor trusted.
Globally, he explained, tax policies are justified through tangible benefits such as improved healthcare, quality education, job creation, infrastructure development and social safety nets. This, he said, is the true meaning of a social contract.
“In Nigeria, the focus appears to be on how much more the government can extract, rather than what it is prepared to give in return. A tax system without visible public benefits is not reform; it is extortion,” Obi said.
He added that in many countries, extensive consultations with businesses, workers and civil society typically take place for months or even years before tax proposals are finalised. Citizens are informed not only about what they are expected to pay, but also about the benefits they will receive.
Obi lamented that no such consultations or public discussions took place in Nigeria, leaving citizens confused about both the new regulations and the benefits attached to them.
He said the government has rushed into tax collection without building consensus and has imposed enforcement without clear explanations. Even after the removal of subsidies, Nigerians are still waiting for relief, while facing soaring food prices, high transport costs, declining purchasing power and deepening poverty.
“Before addressing these challenges, we are being pushed into a sweeping new tax regime filled with inconsistencies and flagged with 31 major concerns by a leading global accounting firm. This is not responsible governance,” he said.
Obi warned that without trust, taxation feels like punishment; without clarity, it breeds confusion; and without visible public value, it amounts to robbery.
He concluded that Nigeria cannot afford to place additional burdens on its already struggling citizens, calling instead for a government that listens, communicates clearly and prioritises national consensus as the only path to genuine reform, unity, growth and shared prosperity.
Why the Controversial tax law should be paused?
It is now undeniable that the tax laws have been fundamentally altered, and even a firm as esteemed as KPMG has pinpointed 31 critical problem areas, from drafting errors to glaring policy contradictions and administrative…
— Peter Obi (@PeterObi) January 13, 2026
