₦airaland Forum

Some workers have expressed mixed and largely underwhelming reactions to recent changes in their take-home pay following the implementation of new Personal Income Tax reforms, with many stating that the increases are marginal and insufficient to meaningfully alleviate economic pressures.

According to The PUNCH, the new tax reform laws introduce several adjustments to the PIT regime. Individuals earning the national minimum wage or less are now exempt from personal income tax, while employees with an annual gross income of up to N1.2m, equivalent to about N800,000 in taxable income, are also exempt. The reforms further provide for reduced Pay-As-You-Earn tax for those earning up to N20m annually and exempt gifts from taxation.

Despite these changes, several workers told The PUNCH on Monday that the impact on their salaries has been modest. A banker, Adetunji Morgan, said his salary rose by about N5,000 following the adjustment. “Yes, the salary increased. I think it increased by about N5,000 for me,” he said.

A Lagos State civil servant, Adedayo Lawal, said it was difficult to determine the exact effect of the PAYE reduction on his earnings without reviewing his payslip. He explained that a Yuletide allowance paid in December further complicated the assessment. “We were given a Yuletide allowance in December, but only 50 per cent of it was paid, with a promise that the second part would be paid this month,” he said, adding that he was not expecting a significant increase.

Similarly, Tolulope Ifeanyi, an employee in the financial services sector, described the increment as minimal. “Mine increased, oh, just a little, sha,” she said.

For a media practitioner, Joshua Austin, the increase was symbolic rather than impactful. “My salary increased, but it is not enough to buy me shawarma for one evening,” he said, noting that a wrap of his preferred shawarma costs N2,500. “As for an increase, yes, it increased, but what is the value of the increase?”

A verified X user, Gabriel Bolatito, also acknowledged the marginal change, stating that while the reduction in PAYE was small, it aligned with prior expectations and resulted in a slight net increase.

“I received my salary last week, and my take-home pay is slightly higher than before. It’s not a huge change, but it helps cover some of the rising costs of living,” said Uchechi Nwankamma, a contract staff at Access Bank in Lagos earning between N200,000 and N250,000 monthly.

From a cross-section of employees interviewed by The PUNCH across the public and private sectors, salary increments reportedly ranged from N6,000 and N5,000 to as low as N3,000, N1,443 and even N400.

Reacting to the feedback, the Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, Taiwo Oyedele, said the committee had received confirmations from workers who noticed reductions in their PAYE tax. In a post on his X (formerly Twitter) handle on Monday, Oyedele wrote, “We are pleased to note the feedback from workers who have received their salaries for January 2026 and confirmed a reduction in their PAYE tax, resulting in higher take-home pay under the new tax laws.”

He added that the committee, in collaboration with the Joint Revenue Board, would host an engagement session with HR directors, payroll managers, chief financial officers, tax managers and other senior executives responsible for employee compensation and payroll tax compliance. The session, scheduled for Wednesday, is aimed at ensuring proper understanding and implementation of the reforms, he said.


However, reactions in the comment section of Oyedele’s post suggested that not all workers benefited from the changes. Some netizens complained of higher tax deductions and reduced take-home pay. Rasha (@rasha2you) wrote, “Why is my take-home lesser? Stop acting like it’s everyone paying less tax I beg.” Another user, ‘Odogwu’ Michael, said his tax increased despite earning barely enough to cover basic needs, while High Bee (@ibukun36180571) stated that there was no reduction in his tax and that his salary had declined.

Addressing concerns about employees who may experience a reduction in net pay, Partner, Tax Reporting and Strategy at PwC, Kenneth Erikume, explained the implications of the graduated tax structure at the 2026 Nigeria Economic Outlook organised by FirstBank. He noted that income up to N800,000 is now exempt, with tax rates applying progressively thereafter, and income above N50m taxed at 25 per cent.

Erikume said that, assuming no significant reliefs are claimed, individuals earning below N25m annually are likely to see an increase in take-home pay due to reduced taxes, while those earning above N25m would face higher tax obligations and reduced net income. He added that organisations would need to consider how to manage this differential from a human capital perspective.

“Staff earning below N25m will retain the benefit, and that cannot be clawed back. However, for staff earning above N25m, the question becomes whether the company will absorb part of the increased tax burden through a payroll review aligned with this change,” he said, stressing that payroll adjustments are an urgent issue that organisations must address immediately.

Developmental economist Dr Aliyu Ilias said the policy was initially presented as progressive, but early implementation suggests otherwise.

“Recent developments particularly charges applied to USSD transactions and other bank services show that a 7.5 per cent levy is being imposed across multiple layers,” Ilias told The PUNCH.

“This suggests that the policy may, in fact, negatively affect people. Individuals who adjusted their spending in anticipation of reduced costs are now facing higher charges, which could strain household finances and weaken purchasing power.”

The reforms were not without controversy. Lawmakers had raised concerns over discrepancies between gazetted and parliamentary versions of the laws, prompting official clarifications and certified publications. Despite these concerns, the government pressed ahead, stressing that the measures are essential to enhance disposable income and reduce bureaucratic inefficiencies in tax collection.

Describing the situation as “an unfortunate reality,” Ilias said the National Assembly could amend the framework to address emerging distortions.

“If we examine the current trajectory, we can identify specific issues that require further review,” he added, urging policymakers to monitor challenges as implementation continues. “Overall, however, we believe we are doing good work.”

https://punchng.com/tax-reforms-workers-unimpressed-with-marginal-salary-rise/

Recall: PAYE Cut Increases Workers’ Take-Home Pay In January — Oyedele

Net increase right? We need a framework to hold governor's responsible because this means more money for them.

The data boys of the fake certificate holder saw the marginal increase in lies as the greatest achievement of the roasted electricity fraud.

The incompetent mandate snatcher have already taken the advice of the terrorist sheik Gumi to go to Turkey and sign a Deal for security and defence. Gumi warned him to ignore the West and seek for security assistance from fellow creatures that hate Christians

DatNiggaDaz:


The data boys of the fake certificate holder saw the marginal increase in lies as the greatest achievement of the roasted electricity fraud.

The incompetent mandate snatcher have already taken the advice of the terrorist sheik Gumi to go to Turkey and sign a Deal for security and defence. Gumi warned him to ignore the West and seek for security assistance from fellow creatures that hate Christians

Nigeria’s foreign policy is one of non-alignment, with Africa—especially West Africa—as its primary focus. So it shouldn’t be surprising to see Nigeria’s leadership engaging with Russia, Turkey, and China, while still maintaining close ties with the US, the UK, and Europe.

i got barely N2,500 increase in my salary but they chop N600k from my benefits

All this propaganda won't work. Mtchew

The greatest fraud of the century, they already have your bvn, you will still declare your total income at the end of the year, and then pay the differential.

This is why you need to be in the category of people that pays salary not people that collects salary

They are just deceiving us no increment in the net pay with this tax reform. Enough of propaganda

So this is the increase that this propaganda government were telling workers to look forward to, what a shame. Vote APC and continue your suffering

lionshare:
Nigeria’s foreign policy is one of non-alignment, with Africa—especially West Africa—as its primary focus. So it shouldn’t be surprising to see Nigeria’s leadership engaging with Russia, Turkey, and China, while still maintaining close ties with the US, the UK, and Europe.

You just said what Sheik Gumi advised the mandate snatchers. Instead of Russia or China, why not Turkey according to the terrorist Sheikh

Data boiz on the beat ft propaganda remix

Why is this thread hidden in the Career section ?

So 2500 is the increment the tax master was referring to?

The way this government and its hordes of supporters celebrate this tax law, you’d think it were the greatest achievement in human history, a magic wand meant to usher in the economic boom and prosperity Nigerians have long been yearning for.

lionshare:
Net increase right?

We need a framework to hold governor's responsible because this means more money for them.

Can you please explain HOW a reduction in the tax money from PAYE that is for states translates to MORE money for the 36 governors

The negative propaganda will fade away. The truth is coming out. We are in a revolution. Accept it or reject it. We are rebuilding Nigerian economy from foundation. Taxation is a major fiscal tool but in Nigeria for so many years it has not. We are back to what it should be.

adebayoadeyiga:
They are just deceiving us no increment in the net pay with this tax reform. Enough of propaganda

People that have actual jobs already said they witnessed a marginal change in their earnings, but someone who doesn't earn anything is saying no. No be juju be that?

potbelly:
So 2500 is the increment the tax master was referring to?

What was your argument against the tax law again?

This is what Oyedele has been saying fof almost one year now but people will prefer to lister to uninformed bloggers, unintelligent opposition and fellow lazy people.

They have been claiming that the tax law was forced, ask them to tell where one value was approved by the senate and the value was changed when signed they cannot tell you.

Oyedele has consistently said the only alterations he is aware of are a few grammatical errors on inconsistencies noticed, that is what these noise makers are amplifying as if they noticed very serious infringements.

mycar:
The greatest fraud of the century, they already have your bvn, you will still declare your total income at the end of the year, and then pay the differential.

Why should you hide some of your income? That's fraud. What you need is tax planning. In nations that we want to be like them it sends one to jail.

delzbaba:
i got barely N2,500 increase in my salary but they chop N600k from my benefits

Hold your employers except it's the tax authority that pays your benefits.

Ofunaofu:
The way this government and its hordes of supporters celebrate this tax law, you’d think it were the greatest achievement in human history, a magic wand meant to usher in the economic boom and prosperity Nigerians have long been yearning for.

What do you expect from people who celebrate stability of the Naira exchange rate to the dollar at N1,500, even though the Lagos TAX monster planner promised N300/$1 in the short term over 32 months ago? The blind BATolomeus loyalists don't care that Tinubu used SPV future oil revenues to borrow $3.3 billion from Afreximbank specifically to defend the Naira almost two years ago.

What do you expect from people who rejoice at N5 reduction in fuel price to N910, instead of the crash promised by Emilokan in January 2023 when petrol was N197?

By how much are 200 million Nigerians subsidising the massive corruption in APC oil sector now, for every litre of petrol

anonimi:
Petrol should never cost more than N70 per litre, says APC

January 19, 2015

The All Progressives Congress (APC) has described as mere tokenism the reduction of petrol price from N97 to N87 per litre, saying the petroleum product ordinarily should sell for N70.

On Sunday, the federal government announced the reduction of petrol price, citing the fall of global crude oil price.

But the APC through Lai Mohammed, its spokesman, on Monday accused the government of making a show out of deceit, saying “a 10.3 per cent slash in the price of petrol was a mere tokenism at a time the price of crude oil has crashed by about 60 per cent”.

It argued that the pump price of a litre of petrol should not be more than 70 Naira, alleging that at N87 per litre, the government was forcing Nigerians to subsidise the massive corruption in the oil sector by N17 for every litre of fuel.

https://www.thecable.ng/petrol-never-cost-n70-per-litre-says-apc/

Ingrates are like sadists....

An employee in the financial services sector, described the increment as minimal. “Mine increased, oh, just a little, sha,” she said.

That increase is about some thousands according to one employee that said his own increment was #5000.
Just imagine if #50 naira was removed from their salary...lol

It’s like Rain, Tax - Inevitable- Celina Dion. Nigerians, Una never chi chomchin. lol

9jatriot:
This is what Oyedele has been saying fof almost one year now but people will prefer to lister to uninformed bloggers, unintelligent opposition and fellow lazy people.

They have been claiming that the tax law was forced, ask them to tell where one value was approved by the senate and the value was changed when signed they cannot tell you.

Oyedele has consistently said the only alterations he is aware of are a few grammatical errors on inconsistencies noticed, that is what these noise makers are amplifying as if they noticed very serious infringements.

>>>>>>>>>>>>>
>>>>>>>>>>>>>>>>

Hopefully you are not a school na scam progreThief APC follower.

Reps Minority Committee Confirms ‘Alterations’ In Gazetted Tax Laws

The committee, in its preliminary findings, confirmed that alterations were made, especially in the Nigeria Tax Administration Act, 2025.

“The Nigeria Tax Administration Act (NTAA), 2025, has a number of discrepancies from the version passed by the National Assembly and the version earlier published in the official gazette. These discrepancies are obvious, going by the released Certified True Copies (CTCs) by the House referenced earlier,” it stated.

Citing section 29(1) and 41 (8 and 9) on reporting thresholds, introducing new subsections, and prescribing a mandatory 20 per cent deposit for appeals, respectively, the committee said, “While the NASS Certified version provided for a tax compliance reporting threshold of ₦50 million for individuals and ₦100 million for companies, the gazetted version lowered the reporting thresholds for individuals to (₦25 million from ₦50 million) and (₦100 million from ₦250 million) for companies.

“This is a clear case of the Executive undermining legislative powers by illegally altering an already passed law to drag more taxpayers into the net.

“The gazetted version introduced new subsections 41( and 41(9), which required taxpayers to deposit 20 per cent of the disputed tax amount as a condition for appealing Tax Appeal Tribunal (TAT) decisions to the High Court. These sections were not in the authentic version passed by NASS.”

On Section 64, dealing with enforcement and power of arrest, it said that the gazetted law illegally increased the powers of the tax authority to include the power to arrest individuals suspected of tax violations through law enforcement agencies, and allowed for the sale of seized assets without a court order.

Citing Section 3(1) (b), which focuses on the definition of federal taxes, the panel said that while the NASS certified version defines Federal taxes to include income tax, petroleum income tax, stamp duties, and VAT, the gazetted version removed petroleum income tax and VAT from the definition of taxes under the federal government’s administration.

“We consider this an affront to the exclusive powers of the National Assembly to make laws,” it said.

“Section 39(3): Currency of Tax Computation. The illegally altered gazetted Act mandated that tax computations for petroleum operations be made in US dollars. But in the actual version passed by the National Assembly, it prescribed tax calculations in the currency of the transaction,” it added.

On Section 30(1) (d), & 30(3) — National Assembly Oversight Provisions — of the Nigerian Revenue Service (Establishment) Act, it disclosed that it observed, “with grave concern,” that while the authentic version passed by NASS provided that NASS can summon, demand reports or enforce accountability in line with its constitutional role of oversight, the altered gazetted version “curiously deleted” this provision requiring quarterly and annual reporting to parliament regarding the Nigeria Revenue Services, in total disregard and disrespect of the institution of the National Assembly and the doctrine of checks and balances, an important bedrock of democracy.

https://www.channelstv.com/2026/01/23/reps-minority-committee-confirms-alterations-in-gazetted-tax-laws/

Ritchiee:
Ingrates are like sadists....

An employee in the financial services sector, described the increment as minimal. “Mine increased, oh, just a little, sha,” she said.

That increase is about some thousands according to one employee that said his own increment was #5000.
Just imagine if #50 naira was removed from their salary...lol

Who can be a greater sadist than the Lagos TAX monster planner who confused 200 million Nigerians to accept his 2011 expired Buhari as APC change messiah four years later?

What has changed for better in Nigeria since 2015

anonimi:
March 21, 2011

Tinubu rules out alliance with CPC

Prospect of a possible alliance between the Action Congress of Nigeria, ACN and Congress for Progressive Change, CPC, was dashed yesterday in Kano as the leader of the party and former governor of Lagos State, Asiwaju Ahmed Bola Tinubu described CPC as parading “expired leadership.”

Tinubu told ACN supporters in Kano during the party’s Presidential rally that: “What Nigerians need now is a transformation in leadership” as obtained in the advanced economy.

The two-term Governor of Lagos State explained that the leadership of ACN was offering Nigeria the brilliance of Nuhu Ribadu who, he said, is in the class of Nicolas Sarkozi of France, David Cameron of Britain, Medvedev of Russia and Barack Obama of the United States of America.

“What has CPC got to offer? We certainly don’t need expired leadership as we are offering the best in terms of brilliance, courage and patriotism in the class of Sarkozi of France, David Cameron of Britain and Barack Obama of the USA.”

Tinubu’s position came on the heels of Ribadu’s declaration penultimate week in Kaduna when he hinted during a political rally of a joint ticket between the two opposition parties to confront the dominance of the Peoples Democratic Party, PDP.

The national leader of ACN criticised President Goodluck Jonathan for shying away from the national debate held last Friday, stressing that”that singular act exposed Jonathan as a coward who has nothing to offer.”

http://www.vanguardngr.com/2011/03/tinubu-rules-out-alliance-with-cpc/

tnerro1:
So this is the increase that this propaganda government were telling workers to look forward to, what a shame. Vote APC and continue your suffering

Should we vote Obi or Atiku so we can experience real and undiluted and unrescinding hardship?

Isn't it comical that in the alterations they dodged petroleum tax with eyes wide open but were so enthusiastic to tax individuals?

And that is among other democratic infringements

Business owners, stay off this thread.

This thread is for civil servants and government pliferers/plunderers.

Just wondering what 5k increase can do in this economy. It’s a shame really.

DeOTR:
Hold your employees, except it's the tax authority that pays your benefits.

Employers you mean, are you saying it was wrong to deduct such a high amount, 15% ?