Nigeria Moves Toward Inclusive Tax Reform: Presidential Aide Advocates for Equity in Fiscal Policies

By Agbo Christian Obiora

Abuja, Nigeria – In a landmark move towards fostering social justice and economic inclusion, Hon. Mohammed Abba Isa, the Senior Special Assistant to the President on Special Needs and Equal Opportunities, has called for urgent reforms to Nigeria’s tax system to ensure greater inclusivity for Persons with Disabilities (PWDs). Speaking at the Inclusive Tax Reform Townhall Meeting held at Transcorp Hilton, Abuja, on Tuesday, February 25, 2025, Hon. Isa emphasized the need to incorporate disability-sensitive policies in Nigeria’s ongoing tax reforms.

The high-profile event, themed “Promoting Equity, Fairness, and Social Justice in Nigeria’s Tax Reforms,” brought together government officials, tax policymakers, disability rights advocates, economic experts, and business leaders to deliberate on the importance of designing a tax system that accommodates the unique economic realities of PWDs.

Hon. Isa, representing President Bola Ahmed Tinubu, commended The Albino Foundation (TAF Africa) for organizing the forum and lauded the Presidential Committee on Fiscal Policy and Tax Reform for its commitment to restructuring Nigeria’s tax policies to drive economic growth and inclusivity. However, he underscored that any meaningful tax reform must intentionally integrate PWD perspectives to ensure fairness.

Why Inclusive Taxation Matters for PWDs

In his keynote address, Hon. Isa dismantled the long-standing misconceptions surrounding PWDs as mere beneficiaries of social welfare rather than active contributors to economic development. He noted that many PWDs are skilled professionals, entrepreneurs, and business owners who face higher living costs, workplace discrimination, and systemic barriers that put them at a financial disadvantage.

“Taxation is the foundation of any nation’s economic policy, but when it is structured without considering the unique challenges and contributions of marginalized communities, particularly PWDs, it reinforces economic inequalities,” he stated.

He outlined four major reasons why Nigeria’s tax system must be restructured to support PWDs:

1. Higher Cost of Living:
   • PWDs incur extra expenses for assistive devices, medical care, and personal support services.
   • These financial burdens reduce disposable income and make it harder for them to afford basic necessities.
2. Barriers to Employment and Entrepreneurship:
   • Workplace discrimination and inaccessibility keep many PWDs from securing jobs.
   • Those who turn to entrepreneurship struggle to access funding and business tax incentives.
3. The Need for Disability-Sensitive Fiscal Policies:
   • Countries like the UK, USA, and Canada have tax credits, deductions, and exemptions to ease financial strain on PWDs.
   • Nigeria must adopt global best practices to ensure fair economic participation.
4. Boosting Inclusive Economic Growth:
   • A tax system that acknowledges the contributions of PWDs promotes financial independence and reduces reliance on welfare.
   • Inclusive tax policies create a more diverse and productive workforce.

Call for Action: Five Key Recommendations

Hon. Isa presented a five-point proposal to the Presidential Committee on Fiscal Policy and Tax Reform to ensure that PWDs are fully considered in tax policy formulation:

1. Tax Reliefs for PWDs and Caregivers
   • Personal tax deductions for disability-related expenses (medical treatment, assistive devices, rehabilitation).
   • Tax credits for families caring for PWDs to reduce financial hardship.
2. Incentives for Businesses Employing PWDs
   • Corporate tax rebates for companies meeting PWD employment quotas.
   • Tax deductions for companies investing in accessible infrastructure, assistive technologies, and disability training.
3. VAT Exemptions for Disability-Related Products and Services
   • Removal of VAT on essential assistive technologies (wheelchairs, hearing aids, braille materials).
   • Reduction of import duties on disability-related equipment to enhance affordability.
4. Support for PWD Entrepreneurs
   • Special tax incentives for PWD-owned businesses and startups.
   • A disability-focused grant scheme with tax benefits for SMEs owned by PWDs.
5. PWD Representation in the Tax Reform Committee
   • Advocating for PWDs to have a seat at the table where tax policies are made.
   • Ensuring that disability perspectives are fully integrated into fiscal planning.

“Nothing about us without us!” Hon. Isa declared, reinforcing the need for direct PWD representation in decision-making processes at the highest level.

Towards a More Equitable Tax System

As Nigeria moves towards a major overhaul of its tax policies, Hon. Isa urged the government to embrace inclusive strategies that promote social justice.

“A fair tax system does not just generate revenue; it must also address the needs of marginalized communities. If we truly want a Nigeria that works for all, we must ensure that our tax policies reflect the values of equity, inclusion, and economic justice,” he asserted.

He concluded by appealing to the Presidential Tax Reform Committee to take concrete steps toward implementing disability-inclusive tax policies that empower PWDs rather than exclude them.

The Inclusive Tax Reform Townhall Meeting ended with a strong commitment from stakeholders to work towards a tax framework that is fair, just, and accommodating to PWDs. With continued advocacy and policy engagement, Nigeria is poised to set a progressive precedent for inclusive fiscal governance.

Special Acknowledgment

The event was supported by the Ford Foundation, which continues to champion initiatives aimed at promoting equity and inclusion in Nigeria’s economic policies.