Tax Ombud urges Nigerians to challenge unfair taxes

Nigeria’s first Tax Ombud and Chief Executive of the Office of the Tax Ombud, Dr John Nwabueze, has urged Nigerians and businesses facing unfair tax assessments, multiple taxation and disputes with revenue agencies to seek redress through the newly established office. Nwabueze said the office was created to provide relief for taxpayers who had previously been left without an independent platform to challenge unfair treatment by tax and revenue authorities. Speaking at a breakfast meeting with finance correspondents and heads of newsrooms in Abuja on Tuesday, Nwabueze said, “So you can say that the Office of the Tax Ombud is the first-to-go place for any aggrieved taxpayer.” He said the office would serve as an independent and impartial institution for resolving complaints between taxpayers and revenue authorities through mediation, conciliation and alternative dispute resolution. According to him, taxpayers who disagree with tax assessments or actions taken by revenue agencies can now approach the office before seeking legal redress. He said, “Say they give you the assessment, like N200m, for instance, and you feel it is not up to that. Maybe your claim is supposed to be like N100m. So you come to us. We will look at your case. We now intervene. We will talk to the authorities. And at some point, there might be some kind of assessment review. And if it turns out that that is the case, then that is resolved.” Nwabueze explained that the office was not a court and would not replace the Tax Appeal Tribunal, but would provide a first layer of dispute resolution for taxpayers and revenue authorities. He said that where either party was dissatisfied with the outcome of the mediation process, the matter could still be taken to the Tax Appeal Tribunal. The Tax Ombud said the office had a wider mandate in Nigeria than similar offices in some other countries because it covered both tax and revenue-related complaints involving agencies such as the Nigeria Revenue Service, Nigeria Customs Service, Nigerian Maritime Administration and Safety Agency and the Nigerian Ports Authority. Nwabueze said the office had already begun receiving complaints, including cases from the Niger State Internal Revenue Service and NIMASA, although he said the matters were still being reviewed. “We have a couple of cases that have come out from the state, one from Niger State Internal Revenue and one from NIMASA. And those ones were recent, and we are working on them,” he said. He added that the office would begin providing periodic updates on its activities, noting that media engagements could be held quarterly. Nwabueze said the establishment of the office under Nigeria’s new tax administration framework was aimed at strengthening transparency, accountability, fairness and taxpayers’ confidence in the tax system. He stated that the office would protect taxpayer rights while also ensuring that citizens and businesses comply with legitimate tax obligations. “What this office does is to provide an independent mechanism for addressing taxpayer complaints, resolving disputes fairly, protecting taxpayer rights and promoting trust between tax authorities and citizens,” he said. He said many Nigerians had, in the past, suffered unfair treatment from revenue agencies without knowing where to seek help. “Before now, most taxpayers, I can assure you, have been treated unfairly. And they have got nowhere to go to,” he said. Nwabueze cited cases involving importers whose goods were affected by customs-related disputes, saying the office would help prevent situations where businesses suffer avoidable losses due to unresolved revenue claims. • Understanding intersection between you and new tax laws (3) • What Nigeria’s new tax direction means for young entrepreneurs • Tax reform: FG opens free dispute resolution channels He, however, said the office would not side blindly with taxpayers, noting that some taxpayers also evade taxes or understate their obligations. “My office looks at both sides of the coin. We are there for the taxpayer. We are also there for the tax authorities and revenue authorities,” he said. On multiple taxation, Nwabueze said the office was working with the Joint Revenue Board and state revenue agencies to address complaints arising from overlapping taxes and levies across federal, state and local government levels. He admitted that resolving multiple taxation would take time because of the number of government agencies involved. According to him, the Joint Revenue Board is already working to harmonise tax issues and provide relief to taxpayers. He added, “Things are being done to see how to at least provide some relief to Nigerians and stop some of those very extreme activities of the local governments.” Nwabueze disclosed that Nigeria had become the eighth country to establish an Office of the Tax Ombud, describing it as a major step in deepening fairness and trust in the country’s tax system. He said public confidence in the tax system was critical to improving voluntary compliance and raising government revenue. “When the public is confident that the tax system is fair to them, compliance increases. And with the increase in compliance, the revenue for the country goes up,” he said. The Tax Ombud said the office had recently unveiled its website, call centre and case management portal to enable individuals, businesses and other stakeholders to submit complaints online or by phone and monitor the progress of their cases in real time. He said the call centre would also help taxpayers in rural communities access the office, adding that a callback option had been introduced for people who may not have enough airtime to make calls. He said the office had started operations from Abuja and the six geopolitical zones, with a long-term plan to establish a presence in the 36 states and local government areas. Nwabueze, however, said awareness of the office remained low, estimating that most Nigerians were still unaware of its existence. He urged journalists to help educate taxpayers on how to file complaints and use the office to resolve grievances. Nwabueze said the office was open to criticism and public feedback, adding that its early decisions would shape the future of tax dispute resolution in Nigeria. PUNCH Online earlier reported that the Federal Government said Nigerian taxpayers can now resolve tax-related disputes free of charge through the newly launched Office of the Tax Ombud platforms aimed at improving fairness, transparency, and accountability in tax administration. The Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, disclosed this during the unveiling of the Tax Ombud website, toll-free call centre, and case management system.