Reimagining Nigeria’s Tax System and Work Culture: Insights from the Town Hall Meeting on Tax Reform and Economic Growth Introduction Nigeria stands at a crucial juncture in its economic and fiscal policies. With pressing challenges surrounding tax compliance, revenue mobilization, and employment structures, stakeholders are engaging in meaningful discussions on how to reshape the country's tax system for sustained economic growth. At a recent town hall meeting organized by the El-Maverick Centre for Educational Research and Development, Tope Fasua, Special Adviser on Economic Affairs in the Office of the Vice President, made bold propositions—advocating not only for tax reforms but also for a reimagining of Nigeria’s traditional 9-to-5 work structure. Themed “Thinking of Taxes in a New Way”, the event provided a platform to deliberate on Nigeria’s fiscal policy direction, including President Bola Tinubu’s tax reform agenda, and explore how taxation can be optimized to drive economic growth while fostering innovation in the workplace. This article delves into the core issues discussed at the event, including the radical proposal to abolish the 9-to-5 work structure, tax reform challenges, public perception of taxation, and policy recommendations for a more effective and fair tax system in Nigeria. Rethinking the 9-to-5 Work Model in Nigeria Is the Traditional Workday Obsolete? Tope Fasua’s argument that the 9-to-5 work structure is outdated raises fundamental questions about workplace efficiency, economic participation, and the future of work. He proposes a three-hour work schedule, particularly in the public service, to attract younger professionals and allow them to engage in alternative income-generating activities such as content creation and digital entrepreneurship. This perspective aligns with global trends in workforce innovation, where flexibility, remote work, and results-oriented performance are increasingly replacing rigid, hour-based employment models. If adopted in Nigeria, this shift could: Enhance public sector efficiency by prioritizing productivity over hours worked. Attract younger talent into government roles through a more adaptive and creative work environment. Support economic diversification by enabling workers to explore side businesses, digital ventures, and creative industries. While controversial, the proposal merits further discussion, especially as Nigeria seeks to create jobs, boost entrepreneurship, and adapt to the digital economy. Nigeria’s Tax Reform: A Critical Moment The Four Tax Bills Before the National Assembly Nigeria’s tax system has long been criticized for its complexity, inefficiency, and multiple taxation issues. President Bola Tinubu's administration has proposed four tax-related bills aimed at simplifying tax administration and addressing structural inefficiencies: Nigeria Tax Bill 2024 – Seeks to restructure the tax framework and reduce complexity. Tax Administration Bill – Focuses on enhancing compliance mechanisms and modernizing tax collection. Nigeria Revenue Service Establishment Bill – Aims to streamline tax revenue collection across various agencies. Joint Revenue Board Establishment Bill – Seeks to harmonize tax administration across federal, state, and local governments. The Policy Debate: Stakeholder Reactions While pro-tax reform advocates argue that these bills will simplify tax administration and encourage compliance, opposition voices, particularly from northern leaders, have raised concerns about the impact of tax reforms on businesses and low-income earners. In response, the Presidential Fiscal Policy and Tax Reforms Committee, led by Taiwo Oyedele, has committed to broader consultations to address concerns before implementation. The committee expects the legislation to be passed by Q1 2025, with implementation strategies following soon after. Public Perception of Taxation in Nigeria: A Trust Deficit Why Many Nigerians Resist Paying Taxes A key issue raised at the town hall was public distrust in Nigeria’s tax system. Professor Josephine Agbonika, Dean of Law at Veritas University, highlighted three major factors driving tax resistance: Historical distrust in government – Many Nigerians believe that tax revenues are mismanaged, fueling skepticism about compliance. Excessive bureaucracy in tax filing – The complexity and inefficiency of the tax system discourage voluntary compliance. Multiplicity of taxes – With taxes levied at federal, state, and local levels, businesses and individuals often feel overburdened. Proposed Solutions for Better Tax Compliance To address these challenges, Professor Agbonika recommended: Adopting a single-digit tax rate to ease compliance and reduce tax evasion. Public education initiatives to create awareness about why taxes matter and how they benefit citizens. Strengthening accountability and transparency to rebuild public trust in tax collection and utilization. These recommendations align with global best practices, where simplified tax structures and citizen engagement have led to higher voluntary compliance rates. Grassroots Sensitization: The Key to Voluntary Compliance Bringing Tax Awareness to the People Another crucial discussion point was the need for grassroots tax sensitization. Abdullahi Hashim, CEO of Cubical Vertex Solutions Limited, emphasized that many Nigerians see taxes as a form of government exploitation rather than a civic duty. To change this perception, he recommended: Using community engagement programs to educate citizens on tax benefits. Leveraging digital platforms to simplify tax compliance for small businesses and individuals. Collaborating with religious and traditional leaders to promote tax awareness at the grassroots level. By making tax compliance more accessible and understandable, Nigeria can increase voluntary tax payments and reduce evasion. Key Takeaways for Policymakers and Tax Administrators The town hall meeting provided critical lessons for Nigerian policymakers and tax administrators: 1. Flexible Work Models Could Boost Productivity and Tax Revenue A shorter workday could drive higher efficiency and innovation. Digital and gig economy jobs can create new taxable income streams. 2. Simplifying the Tax System is Urgent The current system is overly complicated and discourages compliance. A single-digit tax rate could encourage voluntary participation. 3. Restoring Public Trust is Essential Citizens need to see the direct benefits of taxation, such as infrastructure improvements and social services. Government must improve transparency and accountability in tax revenue utilization. 4. Grassroots Education is Key Many Nigerians lack basic tax literacy, leading to resistance and evasion. Community-based awareness campaigns can improve compliance. Conclusion: The Future of Taxation and Economic Policy in Nigeria The "Thinking of Taxes in a New Way" town hall meeting underscored bold ideas and necessary reforms in Nigeria’s tax system and work culture. As the government pushes ahead with its tax reform agenda, ensuring broad stakeholder engagement, simplification of tax structures, and increased public trust will be critical for long-term success. Moreover, rethinking work models—such as replacing the 9-to-5 structure with more flexible options—could unlock new economic opportunities, particularly for Nigeria’s youth. Ultimately, Nigeria’s tax policies must balance revenue generation with fairness and efficiency, ensuring that taxation serves as a catalyst for national development rather than a burden on citizens. Olatunji Abdulrazaq CNA, ACTI, ACIArb(UK) Founder/CEO, Taxmobile.Online