Nigeria’s ongoing effort to modernise its tax and revenue framework is gathering pace at the sub-national level, as more states align their fiscal policies with the Federal Government’s reform agenda. In the latest development, Anambra State has become the third state in the country to adopt the Harmonised Taxes and Levies Law, joining a growing list of states seeking to simplify revenue administration, reduce inefficiencies, and ease the burden on citizens and businesses.
The law was signed on Tuesday in Awka by Anambra State Governor, Charles Chukwuma Soludo, according to a statement issued by the Joint Revenue Board. The move places Anambra firmly within the emerging national consensus around tax harmonisation and structured revenue collection.
Just days earlier, Zamfara State took a similar step when Governor Dauda Lawal signed a comprehensive revenue reform law. Taken together, the actions by Anambra and Zamfara reinforce a broader alignment with the national tax reform agenda championed by President Bola Ahmed Tinubu, which prioritises clarity, fairness, and efficiency in public finance management.
These recent enactments build on the earlier passage of a revenue administration law in Ekiti State, marking a coordinated shift by state governments towards harmonised, transparent, and people-focused revenue systems. Analysts see this as a significant break from the past, where fragmented and overlapping tax regimes at the state and local government levels often created confusion, discouraged investment, and fuelled public resentment.
According to the Joint Revenue Board, Governor Soludo’s assent formally makes Anambra the third state to domesticate the Harmonised Taxes and Levies Law, which standardises the list of taxes and levies that can be collected by state authorities. In Zamfara, the newly signed law goes further by repealing and re-enacting consolidated revenue statutes, establishing a Zamfara State Internal Revenue Service, and creating a legal framework for the harmonisation of both tax and non-tax revenues.
The Zamfara law also provides detailed guidelines for tax assessment, collection, accounting, and enforcement, ensuring that all revenues accruing to the state government are managed under a single, coherent system. Collectively, these reforms are designed to dismantle outdated practices and replace them with technology-driven, transparent, and economically efficient processes.
“The enactment of these laws reflects a clear policy direction by state governments to dismantle fragmented and outdated revenue practices, replacing them with a pro-people, coherent and harmonised system that leverages technology, prioritises fairness and equity, certainty, and economic efficiency,” the statement noted. It added that aligning approved taxes and levies within the national framework would significantly reduce multiple and overlapping charges that have long imposed undue strain on individuals and businesses.
For businesses and investors, the implications are far-reaching. Beyond improving administrative efficiency, harmonised tax regimes are expected to curb arbitrary collections and the activities of unauthorised revenue agents, which have been a persistent challenge in many states. Small and medium-scale enterprises (SMEs), often the most vulnerable to informal levies and enforcement abuses, are likely to benefit the most from clearer rules and predictable obligations.
The reforms are also consistent with a broader fiscal philosophy that seeks to improve compliance through clarity rather than coercion. By simplifying tax structures and clearly defining what can and cannot be collected, governments aim to restore public trust and ensure that revenue systems support development rather than function as purely extractive mechanisms.
Momentum is building across the federation, with the Joint Revenue Board noting that several other states, including Lagos State, Katsina State, and Bauchi State, have advanced legislative processes toward enacting similar harmonised tax and levies laws. As more states come on board, observers believe Nigeria could be on the cusp of a more unified, transparent, and investor-friendly sub-national tax environment—one that supports economic growth while easing long-standing pressures on citizens and businesses alike.
Emmanuel Bassey is a Financial Expert that has worked in the Banking and Finance Industry for over 15+ years across different banks in Nigeria
