The Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, Taiwo Oyedele, has stressed the need for ongoing tax reforms to include mechanisms that ensure accountability at the local government level.

Speaking on Wednesday at the Lagos Chamber of Commerce and Industry’s Mid-Year 2025 Economic Review, Oyedele identified local governments as key drivers of Nigeria’s multiple taxation challenges, citing a lack of transparency in how they collect and utilize revenues.

Oyedele said, “In the whole of Nigeria, in 2023, all the Local Governments reported under N15bn as taxes collected. That should be the revenue of just two or three LGAs, not 774.”

Oyedele expressed concern that the autonomy granted to local governments in managing their funds has not led to improved governance or greater accountability.

“I have not celebrated that judgment because if one person was misusing your funds and the solution is to give it to 50 other people, you’ve not solved the problem. As we speak today, you will not find any budget or audited accounts of any local government online,” he said.

Oyedele emphasized that tax reforms must require local governments to publish their budgets, audited financial statements, and data on infrastructure projects and service delivery outcomes.

“We need to start with data. For instance, if a local government has 15,000 km of roads and 14,000 km are unpaved, that’s the kind of data needed. Or if 58,000 households have no access to clean water. Use this data to plan, budget, and spend wisely, and then publish everything online,” he said.

He noted that the committee is already collaborating with the National Assembly to include clear governance responsibilities for local governments in the Constitution.

“They are supposed to provide homes for the homeless, sanitation, clean water; many of them are not even aware. Instead, they do one kilometre of substandard road and call it the dividend of democracy,” he said.

He revealed that the committee is strategically timing certain proposals—such as engaging lawmakers after elections—when they are more likely to approach the issues objectively.

“The ombudsman will report to the National Assembly and the Nigerian people. Their reports will be published quarterly online so people can hold them accountable,” he stated.

To enhance public engagement, the committee plans to set up call centres that will allow citizens to communicate in their native languages.

“We are translating tax notes into Yoruba, Hausa, Igbo, Pidgin, and also converting them to audio. Even if you can’t read or write, you can interact with the tax note, with Artificial Intelligence integration,” he said.