In a recent clarification, the Nigerian Federal Government refuted claims made by former Minister of Transportation Rotimi Amaechi regarding the Nigeria Tax Act 2025. The former minister had suggested during a public gathering that the new tax laws would impose a significant 25% levy on building materials, which he warned could lead to economic hardships if the All Progressives Congress retains power in the 2027 elections. These statements went viral and stirred concerns among stakeholders in the construction industry.

Taiwo Oyedele, the Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, stated that the allegations made by Amaechi are unfounded and emphasized that no such tax would be imposed. Oyedele clarified that the new tax laws would not start in 2027 as claimed and assured that there would be no automatic deductions of 25 million Naira from transactions involving building materials or construction funds. The government's prompt response indicates its intention to alleviate fears regarding potential tax burdens on the construction sector.

This ongoing discourse reflects the broader economic tensions in Nigeria, especially concerning taxation and fiscal policy as the country approaches significant elections. The government's rebuttal serves not only to correct misinformation but also to maintain a stable environment for business activities within the construction industry, which is crucial for economic growth. With such statements coming from prominent political figures, there is a heightened need for clarity in tax policies as stakeholders seek assurance against abrupt fiscal measures.