Workers Smile As New Tax Reforms Slash PAYE, Boost January Take-Home Pay

Nigerian workers are beginning to reap the benefits of the Federal Government’s new tax reform laws, as many employees have confirmed a reduction in Pay-As-You-Earn (PAYE) deductions and a corresponding increase in their take-home pay from January 2026 salaries.
The positive development was disclosed by the Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, Mr. Taiwo Oyedele, who said feedback from workers across different sectors indicates that the reforms are already delivering tangible relief to employees.
According to Oyedele, the early results reflect the intent of the new tax laws to promote fairness, ease the tax burden on workers, and improve compliance within the personal income tax system.
To ensure consistent and effective implementation of the reforms, the Presidential Fiscal Policy and Tax Reforms Committee, in collaboration with the Joint Revenue Board, is organizing a stakeholder engagement session for key officials responsible for payroll and tax administration.
The Tax Reform Implementation Session for HR, Payroll and Tax Managers will provide practical guidance on personal income tax compliance under the new Tax Reform Acts. It is targeted at HR Directors, Payroll Managers, Chief Financial Officers, Tax Managers, and other senior executives involved in employee compensation and payroll tax compliance.
The virtual session is scheduled for Wednesday, January 28, 2026, at 3:00pm Nigerian Time, and will focus on aligning payroll practices with the new laws to ensure employees fully benefit from the reforms.
Participants are required to register in advance, after which confirmation details for joining the webinar will be sent via email.
The engagement forms part of broader efforts by the Federal Government to strengthen tax administration, enhance transparency, and improve the welfare of Nigerian workers through well-targeted fiscal reforms.