The Presidential Committee on Fiscal Policy and Tax Reform, Taiwo Oyedele, has clarified provisions of the upcoming Capital Gains Tax (CGT) regime and cautioned potential evaders that enforcement will be stronger under the new framework.
Speaking in Abuja, Oyedele explained that the new law will incorporate enhanced digital monitoring, third-party validation, and data linkage systems that will make tax evasion increasingly difficult. He stressed that underreporting or concealment of capital gains will be more easily traced through integrated income and transaction tracking mechanisms.
Lens News gathered that, Oyedele also addressed public misconceptions about how capital gains will be taxed. He clarified that only realised gains, the profit resulting from the sale or disposal of assets will fall under the scope of CGT, and that unrealised gains (paper gains) will not be immediately taxed.
On penalties, he warned that individuals or companies found to be evading tax under the new provisions will face strict consequences, including fines, interest, or legal action. He emphasised that the government’s focus is on fairness and bringing high-net-worth individuals and corporations into compliance.
Oyedele’s comments come amid broader concerns about Nigeria’s significant tax revenue gaps and the need to boost non-oil revenue. He has repeatedly flagged the country’s failure to collect taxes from many eligible entities, warning that loopholes and weak enforcement have contributed to fiscal stress.
As the tax reforms take shape, stakeholders across business, real estate, and investment sectors are expected to monitor closely how CGT is implemented, especially its impact on capital markets, property transfers, and cross-border transactions.
