Dean of the Faculty of Law at the University of Lagos (UNILAG), Prof. Abiola Sanni, has emphasised that federal tax reforms are important, but must be complemented by state-level reforms to ensure effective implementation, equitable revenue distribution, and sustainable development across Nigeria’s federal system.

He made the remarks during the 2026 Lagos State Professorial Chair in Tax and Fiscal Matters Public Lecture, highlighting the need for a holistic approach to fiscal federalism and stronger revenue-raising powers for sub-national governments.

He underscored that understanding the 2025 tax reform requires clarity on both federal and sub-national dimensions. And further noted that previous reforms often failed to deliver tangible benefits because state-level reforms were neglected.

“If we have federal tax reform without reform at the sub-national level, citizens may not feel the impact,” he said.

Prof. Sanni also traced his contributions to national tax policy, recalling his leadership as Chair of the National Tax Law Drafting Committee, which submitted six bills to the National Assembly.

He highlighted the consolidation of federal taxes under the 2025 reform into four statutes, including the Nigerian Tax Administration Act, aimed at simplifying administration, reducing multiplicity, and expanding the tax base.

He addressed challenges such as unclear mandates for state and local councils’ revenue agencies, Value Added Tax (VAT) disputes, and the need for proper frameworks for estate duties and consumption taxes.

He further called for state-led reforms, emphasising that fiscal autonomy and efficiency at all government levels are essential for a functional federal system.