The Small and Medium Enterprises Development Agency of Nigeria, SMEDAN, has called for tax reforms that protect low-income earners and reduce the burden on Micro, Small, and Medium Enterprises, MSMEs, across the country.
The call was made during the agency’s second Town Hall Meeting on Tax Reforms held in Abuja, where policymakers, tax experts, and MSME owners gathered to examine how ongoing fiscal reforms are affecting small businesses.
SMEDAN stated that the proposed reforms should exempt nano businesses from heavy tax obligations, eliminate multiple and nuisance levies affecting small traders, and simplify tax compliance procedures to make them easier to understand and follow.
According to the agency, the town hall meeting was organised to bridge the gap between fiscal policy formulation and the daily realities faced by MSMEs nationwide. The discussions focused on aligning Nigeria’s evolving tax framework with the needs of small businesses and vulnerable groups within the economy.
A major highlight of the event was a presentation by the Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, who outlined the objectives of the ongoing reforms and their implications for MSMEs.
Oyedele explained that the guiding principle of the reforms is to “tax the fruit, not the seed,” noting that the measures are designed to protect low-income earners and small business owners from policies that could limit growth.
He said the reforms aim to exempt low-income earners and nano businesses from burdensome tax obligations, eliminate multiple levies that disproportionately affect small traders, and remove hidden taxes on essential goods and logistics in order to support price stability.
Oyedele also stressed the need to simplify existing tax codes and improve awareness among MSMEs about available tax incentives, including tax holidays and rebates that many eligible businesses are not currently accessing.
The Director General of SMEDAN, Dr Charles Odii, said the presence of the Presidential Committee at the event allowed for direct engagement between policymakers and entrepreneurs.
“The presence of Mr Oyedele here today ensures that our entrepreneurs are not just hearing about laws; they are participating in a movement that prioritises their survival and growth,” Odii said.
He reaffirmed SMEDAN’s role as the apex agency for MSME development in Nigeria and disclosed that similar engagements would be organised in other locations to ensure nano, micro, and small enterprises benefit from the reforms.
The town hall meeting concluded with a question-and-answer session, during which business owners raised concerns and sought clarification on issues affecting the ease of doing business in Nigeria.
