Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, Taiwo Oyedele, has said Nigerian workers are beginning to enjoy higher take-home pay following reduced Pay As You Earn deductions under the newly implemented tax laws.

Oyedele disclosed this in a post on X on Monday, referencing feedback from employees who received their January 2026 salaries.

He noted that early signs indicate the new tax framework is already easing the tax burden, especially for salary earners whose taxes are deducted at source.

The development comes as the federal government rolls out wide-ranging tax reforms aimed at boosting disposable income, supporting economic growth, and simplifying tax administration nationwide.

Oyedele explained that the reduction in PAYE deductions highlights the early effects of the newly enacted reforms, which are intended to ease the tax burden on workers.

“We are pleased to note the feedback from workers who have received their salaries for January 2026 and confirmed a reduction in their PAYE tax resulting in higher take-home pay under the new tax laws,” Oyedele stated.

He added that the reforms are especially beneficial to employees whose income taxes are deducted directly at source by their employers.

The federal government has recently commenced implementation of a new tax reform framework anchored on the Nigerian Tax Act and the Nigerian Tax Administration Act.

The reforms were introduced to streamline Nigeria’s tax system, curb multiple taxation, and promote fairness across income groups.

Oyedele had earlier noted that about 98 per cent of Nigerian workers will either pay no PAYE tax or face lower deductions under the new framework. He added that roughly 97 per cent of small businesses will be exempt from corporate income tax, value-added tax, and withholding tax.

According to him, large companies are also expected to benefit from reduced tax liabilities under the new laws.