Business Briefings
FG Prohibits Cash Tax Collection, Bans Roadblocks Under New Tax Framework
The Federal Government has prohibited the collection of taxes in cash and barred revenue agencies from mounting roadblocks for enforcement, introducing fresh measures aimed at standardising tax administration across the country.
The Executive Secretary of the Joint Revenue Board, Mr. Olusegun Adesokan, announced the directive in Abuja during the signing of the Presumptive Tax Regulations and Guidelines for the implementation of the nation’s tax laws.
The new framework forms part of broader fiscal reforms designed to improve transparency, accountability, and efficiency in revenue collection.
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Adesokan stated that the regulations expressly outlaw informal collection practices and enforcement tactics that had previously created inconsistencies across jurisdictions. He emphasised that tax authorities are no longer permitted to collect revenue in cash or set up roadblocks for tax enforcement.
According to him, the measures are intended to promote fairness, particularly within the commerce and informal sectors.
He also clarified that nano and small enterprises with annual turnover of N12 million and below are exempt from taxation under the revised guidelines.
The Minister of Finance and Coordinating Minister of the Economy, Wale Edun, described the signing as the transition from legislative approval to structured implementation of the reforms.
Chairman of the National Tax Policy Implementation Committee, Joseph Tegbe, added that the move signals a shift from policy planning to execution, replacing fragmented and arbitrary practices with a more transparent and orderly system.
