The Nigerian government has assured small businesses of exemption from taxes by raising the tax exemption threshold for SMEs from N25 million to N50 million in annual turnover.
The Tinubu administration also announced a nationwide engagement exercise through the Small and Medium Enterprises Development Agency of Nigeria, SMEDAN, to discuss the implications and opportunities of the proposed tax reform bills with SMEs.
The government said the purpose of the engagement is to provide clarity, dispel misconceptions, and foster a better understanding among key stakeholders, including local administrators.
In a statement on Monday, the Director General of SMEDAN, Charles Odii, emphasised the importance of basing debates on accurate facts and proposals contained in the bills.
He said: “We want SMEs to fully understand the implications of these bills and be adequately represented in the ongoing legislative process.
“Our priority is for SMEs to reap the full benefits, which will ultimately boost the economy, given that they are the engine of growth.
“Proposals such as the consolidation of taxes, elimination of nuisance levies, expansion of exemptions, and zero VAT on exports and essential goods reflect the true wishes of SMEs as identified during previous engagements and surveys.”