Peter Obi Calls for Pause on Controversial Tax Laws Amid 31 Critical Issues

Labour Party presidential candidate Peter Obi has urged the Federal Government to immediately suspend implementation of the new tax laws, citing what he described as 31 critical flaws identified by global consultancy firm KPMG.

In a detailed post on X, Obi argued that the legislation suffers from drafting errors, policy contradictions, and administrative gaps, and was introduced without public consultation or transparency. He said the current approach amounts to “extortion” rather than reform.

Obi stressed that taxation must function as a social contract, delivering tangible benefits such as healthcare, education, jobs, infrastructure, and safety nets to justify the burden placed on citizens. He noted that Nigerians are already struggling with soaring food and transport costs following the removal of fuel subsidies, and warned that additional taxes without relief measures are unacceptable.

According to Obi, KPMG’s private meetings with the National Revenue Service revealed serious flaws only after the laws were enacted, underscoring the lack of stakeholder engagement. He contrasted Nigeria’s approach with global best practice, where months or years of consultation typically precede final drafts.

“Without trust, clarity, and visible public value, taxation becomes punishment, confusion, or robbery,” Obi wrote. He concluded: “Nigeria cannot afford to place further burdens on its already struggling citizens. What we need is a government that listens, communicates effectively, and prioritises building national consensus. This is the only viable path to genuine reform, unity, growth, and shared prosperity. A New Nigeria is not just a possibility; it is an imperative.”

The statement has intensified debate over the government’s fiscal strategy, with critics warning that poorly designed tax measures could deepen economic hardship and erode public confidence.