The Executive Chairman of the Nigerian Revenue Service (NRS), Dr. Zacch Adedeji, has declared that technology will be the driving force behind the successful implementation of Nigeria’s newly enacted tax laws.
Adedeji made the remarks on Wednesday while delivering the maiden convocation lecture of the Federal Polytechnic, Ayede, in Ogo-Oluwa Local Government Area of Oyo State. His lecture was titled: “The Role of Technology in Implementing Nigeria’s New Tax Laws: Challenges, Prospects, and Implications for National Development.”
Biggest Tax Overhaul in 50 Years
According to a statement issued by his Technical Assistant on Print Media, Sikiru Akinola, Adedeji described the new legislation as the most significant restructuring of Nigeria’s tax system in five decades.
“Nigeria has recently enacted a new set of tax laws, representing the most significant restructuring of our nation’s fiscal legislation in 50 years. While public conversation often frames these changes as legal reforms, and that is true, it is also an incomplete picture,” he said.
He explained that the reforms go beyond adjusting tax rates or redefining legal terms, stressing that they fundamentally reshape how authority operates within the tax system.
“These laws are not merely changing rates, definitions, or administrative powers. They are quietly redefining how authority operates within the tax system. This is a complete structural overhaul, signaling the end of tax collection as a manual task and the beginning of tax intelligence,” Adedeji stated.
Built for a Digital Environment
The NRS boss noted that the new tax framework assumes a modern digital infrastructure anchored on reliable taxpayer identification, institutional data sharing, traceable transactions, automation, and stronger enforcement mechanisms.
“These laws are built for a digital environment. They cannot function properly in a manual, fragmented, paper-based system. The implication is clear: without technology, the laws remain aspirational. With technology, they become operational,” he said.
Adedeji acknowledged that Nigeria’s tax administration had historically relied heavily on human discretion in registration, assessment, auditing, and enforcement — a practice he said often bred inconsistency and mistrust.
“While discretion is not inherently evil, excessive discretion creates inconsistency, which in turn breeds mistrust and drives non-compliance,” he added.
Expanding Revenue Without Raising Rates
Highlighting the benefits of digital transformation, Adedeji said technology-driven tax administration could increase government revenue without raising tax rates — a critical factor in a society where citizens already feel financially stretched.
“One of the most important prospects of a technology-driven tax administration is the ability to expand the tax base without increasing tax rates,” he said.
He explained that improved data visibility would bring previously untaxed economic activities into the system, promoting fairness and sustainability.
“When compliance broadens, the pressure on the existing base reduces, fairness improves, and legitimacy grows. This is how modern tax systems grow revenue sustainably,” he noted.
Challenges Ahead
Adedeji, however, identified infrastructure gaps, skills shortages, lack of trust, and resistance to change as key obstacles to reform. He expressed confidence that sustained investment in digital systems would address these challenges.
At the event, Speaker of the House of Representatives, Tajudeen Abbas — represented by Senator AbdulFatai Buhari (Oyo North) — urged graduating students to pursue continuous learning and commended Adedeji for spearheading tax reforms.
Chairman of the Polytechnic’s Governing Council, Yakubu Datti, also praised the NRS chief, while Rector Dr. Taofeek Adekunle Abdul-Hameed encouraged students to draw inspiration from Adedeji’s rise from polytechnic education to national leadership.
The lecture underscored the central role of technology in shaping Nigeria’s fiscal future and strengthening national development.