Senator Ireti Kingibe has claimed that the National Assembly has already passed a tax law requiring Nigerians to pay 25 percent of their earnings as tax, and that the law will swing into action after the 2027 general election.
In a video shared widely on social media, Kingibe is heard saying: “Nigerians are not aware that a tax law has been passed, which requires everyone to pay 25% of their earnings as tax. The National Assembly has already passed this law, and it will swing into action after the election”. The video has sparked outrage, with many Nigerians expressing fear that their already stretched incomes will be further depleted by the new tax regime.
The claim, however, does not reflect the actual provisions of the Nigeria Tax Act 2025, which took effect on January 1, 2026. Under the law, personal income tax is calculated using a progressive system with rates ranging from 0 percent to 25 percent. The 25 percent rate applies only to individuals earning above N50 million annually, not to every Nigerian. Those earning N800,000 or less per year pay no tax at all.
The Nigeria Tax Act 2025 replaced the Consolidated Relief Allowance with a capped rent relief and introduced a six-band structure. The highest marginal rate of 25 percent is reserved for the top income bracket. For the vast majority of Nigerians, the effective tax rate is far lower, and low-income earners are exempt entirely.
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Kingibe’s claim that the law was passed without Nigerians’ awareness and is being deliberately delayed until after the election is not supported by the public record. The Nigeria Tax Act 2025 was signed into law in 2025 and has been in effect since January 2026. It was widely reported and debated, and the Federal Government has publicly defended its provisions, including the progressive rate structure.
The senator’s remarks have nonetheless tapped into a deep-seated anxiety among Nigerians about the rising cost of living and the fear of further taxation. The Nigeria Labour Congress and the Trade Union Congress have previously warned against policies that place additional burdens on workers, and the African Democratic Congress has accused the government of relying on taxation rather than production to fund its budgets. Former Vice President Atiku Abubakar has criticised the government’s fiscal approach, arguing that Nigerians are already overtaxed and underpaid.
The video has been shared by accounts including @Kingsholzy, who wrote: “Nigerians are not aware that a tax law has been passed, which requires everyone to pay 25% of their earnings as tax. The National Assembly has already passed this law, and it will swing into action after the election”. The post added: “Do you understand now! Or we should explain it to you? More people will pay Taxes even in hardship!!” Another user replied: “25% out of what pls? This is straight up wickedness. They are bent on keeping Nigerians in poverty”.
The Nigeria Tax Act 2025 is a reality, and it does introduce a 25 percent top marginal rate. But it is not a flat tax on everyone, and it did not take effect after the election. It has been in force since January 2026. The controversy surrounding Kingibe’s remarks highlights the gap between the technical provisions of the law and the way it is understood by ordinary Nigerians. For a government already facing public anger over the cost of living, the perception that it is quietly planning to take a quarter of every worker’s income is a political problem that no amount of technical clarification is likely to solve.
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