Rotimi Amaechi, former minister of transportation, sparked controversy in a viral video. He claimed the Nigeria Tax Act 2025 imposed a 25 percent levy on funds for building materials. Amaechi stated the laws would start in 2027.
He said, “If you are buying cement or any building material, they will deduct 25 percent from that money.” Additionally he alleged the Act taxed bank balances and business expenses at that rate.
Federal Government’s Rebuttal
Taiwo Oyedele, chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, countered these claims on X. He clarified the Act contained no such provisions.
Oyedele stated, “Both claims are incorrect. Contrary to the misinformation seeking to create fear, panic and disaffection, the Nigeria Tax Act 2025 has already commenced and does not impose a 25% tax on construction funds, bank balances, or business expenses.”
Furthermore.he emphasized the government aimed to reduce housing costs through exemptions.
Exemptions and Tax Reforms
The Act exempted essential building materials from value added tax and withholding tax. This move supported affordable housing. Oyedele explained the 25 percent rate applied only to top personal income tax for earners above N100 million annually.
However it did not affect transactions or materials directly. Meanwhile the clarification addressed public concerns amid ongoing tax reform debates.
Broader Context and Reactions
The tax reforms overhauled Nigeria’s system to eliminate duplications and broaden the base. Civil society groups earlier urged clarity on implementation. Meanwhile a Federal High Court upheld the laws despite protests. Public reactions on social media varied, with some questioning the government’s denials.
Future Implications
The Federal Government stressed the Act promoted economic growth. Oyedele noted it lowered costs for construction. Thus, the rebuttal aimed to dispel fears and foster understanding of the reforms.
๐๐ฅ๐๐ซ๐ข๐๐ข๐๐๐ญ๐ข๐จ๐ง: ๐๐ก๐ ๐๐ข๐ ๐๐ซ๐ข๐ ๐๐๐ฑ ๐๐๐ญ 2025 ๐ก๐๐ฌ ๐๐จ๐ฆ๐ฆ๐๐ง๐๐๐ ๐๐ง๐ ๐๐จ๐๐ฌ ๐๐๐ ๐๐ฆ๐ฉ๐จ๐ฌ๐ ๐ 25% ๐๐๐ฑ ๐จ๐ง ๐๐ฎ๐ข๐ฅ๐๐ข๐ง๐ ๐๐๐ญ๐๐ซ๐ข๐๐ฅ๐ฌ ๐จ๐ซ ๐ ๐ฎ๐ง๐๐ฌ
We are aware of a recent video claiming that the new tax laws will commenceโฆ pic.twitter.com/KLD2JunhIKโ Taiwo Oyedele (@taiwoyedele) February 15, 2026
