New tax law to boost purchasing power of low-income workers, says Taxtech

By :  Silver  Nwokoro

Date: 1 December 2025 3:32pm WAT

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Taxaide Technologies Limited (Taxtech)

Taxaide Technologies Limited (Taxtech)

A leading provider of tax administration and data security technologies, Taxaide Technologies Limited (Taxtech), has urged Nigerians to embrace the tax law, as the reform will benefit individuals, especially low-income earners.

Executive Director at Taxtech, Oyeyemi Oke, said the new law’s provisions significantly reduce the tax burden on people earning modest incomes.

“What we see under the law is that low-income earners will pay lower taxes,” he said.

Oke disclosed this while speaking to newsmen ahead of the firm’s 10th Anniversary Celebration alongside the 2025 Africa Data Security Conclave (ADSC).

He explained that individuals earning the national minimum wage would pay no taxes at all under the new regime.

His words: “In fact, the guys who are earning the minimum wage will actually not pay any taxes. Now, the low-income earners will be people from, let’s say 70,000, that is the minimum, up to 2.1 million naira.

“So, if you’re earning between 70,000 and up to 2.1 million, you wouldn’t pay higher taxes. Actually, some will not pay taxes at all, and those that will even pay taxes, looking at the analysis we’ve done and we share what we’ve done, you will be paying lower taxes if you are earning below 2.1 million. The situation changes, or the story changes immediately you go beyond 2.1 million.”

Oke added that individuals earning above that threshold would pay higher taxes, describing the framework as a progressive tax regime designed to boost the spending power of low-income groups.

“Once you go beyond 2.1 million, then you’ll be paying higher taxes. So, the impact of the law as it relates to individual taxes is actually that people of low income, people who are within the low-income band, will actually have more money to spend, which will increase what we call the purchasing power. Then the guys who are the high-income earners will definitely pay more taxes,” he noted.

He acknowledged that much of the controversy surrounding the law stems from misinterpretation, adding that the reform, though impactful, is largely positive for the majority of Nigerian workers.

Also speaking, the organisation’s Chief Executive Officer (CEO), Mr. Bidemi Olumide, said Taxtech had been building quietly over the years and described the 2025 ADSC as a strategic platform dedicated to Africa’s unique data security challenges.

“Now is the time to let the world know us, like us and project us appropriately. Our story is simple: we automate processes and we secure data.

“ADSC is where we call Africa together to discuss data security issues and design solutions tailored to our context. We cannot continue to adopt Western approaches wholesale,” he said.

Executive Director and Partner, Management Support Services at Taxtech, Mr. Olugbenga Sile, stressed the need for broad participation in conversations around digital security.

“The ADSC is a conversation everyone needs to join. You don’t need to be a digital security expert. AI is now part of everything we do,” he said

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