December 30, (THEWILL) — Professional accountants have raised concerns over recent alterations to Nigeria’s tax laws, warning that inconsistencies and unclear provisions could weaken investor confidence and disrupt capital market activity.
The concerns were highlighted by members of the Institute of Chartered Accountants of Nigeria (ICAN), who cautioned that frequent amendments and overlapping tax provisions create uncertainty for businesses, investors, and market operators. According to the accountants, unclear tax rules complicate financial planning, raise compliance costs, and reduce the predictability required for long-term investment decisions.
They noted that stable and transparent tax frameworks are critical to capital market growth, as listed companies and foreign investors rely on policy certainty when valuing assets, projecting earnings, and making portfolio allocation decisions. Sudden or poorly communicated changes to tax laws, they argued, could negatively affect company valuations and dampen participation in the equities and fixed-income markets.
The accountants further warned that inconsistencies between federal and sub-national tax provisions increase the risk of multiple taxation, placing additional pressure on corporate earnings at a time when businesses are already grappling with high operating costs and macroeconomic volatility.
ICAN called on the government to reconsider contentious provisions and engage more extensively with professional bodies, market operators, and the private sector before implementing further changes. According to the institute, stakeholder consultation would help ensure that tax reforms support revenue generation without undermining economic growth or capital market development.
They emphasised that withdrawing or reviewing problematic sections of the altered tax laws would help restore confidence, improve compliance, and strengthen Nigeria’s attractiveness to both domestic and foreign investors.
Ogochukwu Onwaeze
