The Federal government has banned the cash collection of taxes and the mounting of roadblocks for revenue enforcement as part of new regulations aimed at implementing Nigeria’s updated tax laws across the country.
This announcement was made in Abuja by Mr. Olusegun Adesokan, the Executive Secretary of the Joint Revenue Board, during the signing of the presumptive tax regulations and guidelines at the Federal Ministry of Finance.
Adesokan stated that the new framework aims to eliminate informal, coercive, and disjointed tax practices, particularly at the subnational level.
He emphasized that it prohibits all cash collection by tax authorities and the use of roadblocks for tax collection.
The regulations are intended to promote transparency and fairness in tax administration, especially within the commercial and informal sectors.
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The announcement comes amid growing public concern that numerous roadblocks set up by various agencies were being used as a means to collect fees, often leading to traffic congestion, corruption, and unnecessary delays for commuters and transport operators.
According to the statement all federal, state, and local government agencies are prohibited from using checkpoints as a method of collecting taxes or levies.
The government emphasized that legitimate tax collection should follow established legal frameworks and digital or official channels, rather than ad hoc roadblock operations.
“This policy ensures transparency, accountability, and ease of doing business for citizens and commercial operators alike,” the statement said.
“Roadblocks will no longer serve as a point for levies or taxation. Agencies must comply with the proper collection procedures as outlined by law.”
The directive also calls for enforcement agencies to dismantle any unauthorized checkpoints immediately.
Violations of the order will attract sanctions, including fines and administrative penalties for the officers and agencies involved.
Transportation unions, commercial drivers, and civil society organizations have widely welcomed the move.
“This is a long-overdue step,” said a spokesperson for the National Union of Road Transport Workers (NURTW).
“Drivers and traders have long suffered from harassment and extortion at checkpoints. This decision will restore public confidence and reduce unnecessary delays on our roads.”
Officials stressed that the ban does not affect security checkpoints meant solely for law enforcement, road safety, or anti-crime operations.
Agencies responsible for public safety will continue to operate checkpoints under clearly defined legal authority, with no connection to revenue collection.
The federal government says it will monitor compliance closely and expects state governments and local authorities to implement similar measures, ensuring uniformity and adherence across all regions of the country.
