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Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, Taiwo Oyedele, has said that Nigerian workers were starting to enjoy higher take-home pay following a reduction in Pay As You Earn (PAYE) deductions under the country’s newly enacted tax laws.
Oyedele shared this in a post on X on Monday, citing feedback from employees who have already received their January 2026 salaries.
He noted that early reports indicated the new tax system was already easing the burden on workers, especially salary earners whose taxes are deducted directly at source.
The announcement comes as the federal government rolled out comprehensive tax reforms aimed at increasing disposable income, boosting economic growth, and simplifying tax administration nationwide.
Oyedele explained that the decline in PAYE deductions was an early sign of the impact of the recently introduced tax measures designed to lessen workers’ tax obligations.
“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 were particularly advantageous for employees whose income taxes are automatically deducted by their employers.
