By Stanley Onyekwere
In a move set to redefine the fiscal landscape of Nigeria’s capital, the Federal Capital Territory Internal Revenue Service (FCT-IRS) officially launched a strategic initiative to harmonize revenue collection, centering on the integration of the 2025 Tax Reform Acts that came into effect on January 1, 2026.
The vision was unveiled during a landmark Stakeholder Engagement Forum held on Monday, February 16, 2026, where the Service transitioned from a traditional enforcement-heavy model to a partnership-driven, digital-first framework.
Acting Executive Chairman of the FCT-IRS, Mr. Michael Ango, set a collaborative tone, emphasizing that the era of treating tax collection merely as an obligation is over.
“We have not called you here to educate you on your obligations or to report on collections.
“Rather, we are here to discuss our vision for the FCT and how we can work together as partners to achieve that vision”, Ango stated.
The FCT-IRS is positioning itself as a world-class tax administrator, leveraging its new status as a statutory member of the Joint Revenue Board (JRB)—the successor to the former Joint Tax Board—to gain deeper insights and connectivity with national tax systems.
Interestingly, the FCT-IRS outlined three primary pillars to modernize the territory’s revenue landscape:
Digital Transformation: The Service is aggressively moving away from manual, bottlenecked processes in favor of automated, data-driven systems designed to improve efficiency and transparency.
Voluntary Compliance Culture: By prioritizing taxpayer education and transparency, the FCT-IRS aims to make voluntary payment the standard, keeping punitive enforcement as a strictly last-resort measure.
Revenue Harmonization: A major pain point for businesses—multiple taxation—is being addressed through the creation of a unified collection system that bridges the gap between FCT-IRS central operations and the various Area Councils.
Fostering an ease-of-doing-business environment
During the forum, Director of Taxpayer Services, Chinwe Ndu, underscored the practical benefits of these reforms. “Tax thrives on collaboration rather than confusion,” Ndu noted.
By aligning the FCT’s framework with the national reforms, the Service hopes to reduce the administrative burden on businesses operating within the capital.
The event also drew support from the federal level, with the Nigeria Revenue Service (NRS) Chairman, Dr. Zacch Adedeji, highlighting that the ultimate goal of the 2026 tax regime is not to increase tax rates, but to expand the revenue base through technological efficiency.
As the FCT-IRS implements these changes, stakeholders are watching closely to see how the harmonization across Area Councils will resolve long-standing friction points for residents and business owners alike.
The message from the FCT-IRS is clear: the future of Abuja’s development depends on a symbiotic relationship between the regulator and the taxpayer.
