The Federal Inland Revenue Service (FIRS) has detailed how the newly established Office of the Tax Ombuds (OTO), a key feature of President Bola Tinubu’s new tax legislation, will mediate complaints and resolve grievances between tax authorities and the public when the new tax regime takes effect on January 1, 2026.
During the FIRS Taxpayer Webinar Series (TWS), Coordinating Directors at the FIRS, Dr. Dick Irri of the Government and Medium Taxpayers Group (GMTG) and Mr. Tamadi Shettima of the Special Duties Group (SDG), urged taxpayers and FIRS staff to familiarise themselves with the ongoing reforms in the nation’s tax system.
Irri described the Ombud as an essential mechanism for resolving disputes in a fair and accessible manner.
“I just want to encourage everyone to take note of this new concept coming on board. In Tax Ombud, in African tradition, we have a belief that you cannot beat a child and not expect the child to cry,” he said.
“So, taxpayers who may be at risk of repaying or have complained about the attitude of revenue officials or behaviours that are not satisfactory can complain to them. And that is the essence of the Tax Ombud, so to speak, in a layman’s language. It’s not everything that must go to court.”
Shettima described the introduction of the Ombud as a “noble initiative” that will safeguard taxpayer rights and privileges while promoting awareness of their obligations. He said the reform would ensure “a seamless and fair tax administration process that upholds trust between citizens and tax authorities.”
Mrs. Lovette Ononuga, Director of the Taxpayer Services Department (TPSD), said the creation of the Ombud reflects the government’s recognition of taxpayers’ central role in national development. “By embedding the Ombud function in our tax system, the government is not only strengthening revenue mobilisation but also building a tax culture based on trust and mutual respect,” she stated.
According to her, the initiative aligns with President Tinubu’s “Renewed Hope Agenda,” which places fairness, inclusiveness, and accountability at the centre of governance. “FIRS is determined to facilitate compliance, improve service delivery, and ensure that every taxpayer feels valued as a true partner in Nigeria’s developmental journey,” she said.
Bolanle Azeez, Acting Director of the Tax Policy and Advisory Department, and Mr. Olufemi Olarinde, Head of the Fiscal and Tax Reforms Implementation Division, explained the role and benefits of the Ombud in Nigeria’s evolving tax landscape.
According to Azeez, the Ombud is a crucial institution under the new tax regime. “It balances the relationship between citizens and other relevant agencies. Its role promotes fairness, transparency, and accountability. Ultimately, it strengthens tax administration and taxpayer trust,” she said.
Olarinde traced the origin and evolution of the Ombudsman model, noting that it has become a global standard for promoting fairness in governance and public administration. “The Tax Ombuds model began in the late 20th century as countries sought to enhance taxpayer rights and fair tax administration,” he explained.
“The Ombudsman concept originated in Sweden in 1809, designed to protect citizens against maladministration. The idea spread globally, with specialised ombudsman offices now established for banking, insurance, and taxation.”
He further stated that Nigeria’s adoption of the Office of the Tax Ombud demonstrates the country’s commitment to transparency and fairness in tax administration.
“The Office of the Tax Ombuds will promote transparency, strengthen taxpayer confidence, improve compliance, and ultimately promote sustainable revenue growth,” Olarinde added.
The Office of the Tax Ombud offers significant advantages for taxpayers and the tax authorities.
For taxpayers, it ensures fair treatment and protection from abuse, maladministration, or delays; provides a simple, low-cost, and non-judicial means of resolving disputes; and enhances awareness of their rights and entitlements. It also offers faster complaint resolution compared to lengthy court processes and encourages voluntary tax compliance.
For the tax authorities, the Ombud promotes accountability and integrity, reduces the backlog of disputes and court cases, strengthens public confidence in the system, and provides feedback to improve internal processes and efficiency. It also helps identify systemic policy issues, contributing to long-term reform of Nigeria’s tax administration.
According to the legislation, Section 41 (1a–i) of the Act defines the powers of the Office of the Tax Ombud to include serving as an independent arbiter for complaints related to taxes, levies, duties, and fees; reviewing complaints against tax officials; investigating taxpayer grievances; inspecting tax offices; inviting witnesses; making recommendations; initiating legal proceedings on behalf of taxpayers; and identifying systemic fiscal issues that affect tax policy.
The law also authorises the Ombud to “serve as a watchdog against any arbitrary fiscal policy of the Government or by any of its agencies and report such policy to the National Assembly.” Importantly, Section 41 (2) specifies that “the Office of the Tax Ombud shall not charge a fee” for its services, ensuring accessibility for all taxpayers.
However, Section 43 (a–d) limits the Ombud’s powers, stating that it cannot interpret tax laws beyond procedural or administrative matters, intervene in cases already before a court or tribunal, determine tax liabilities or assessments, or review personal grievances from tax officials.
With the establishment of the Office of the Tax Ombud, Nigeria joins the ranks of nations with independent tax mediation institutions designed to enhance fairness, transparency, and public confidence in tax administration.
The initiative represents a major milestone in President Tinubu’s tax reform agenda, which seeks to modernise Nigeria’s fiscal system, reduce disputes, and build a more responsive, citizen-centered tax administration ahead of the 2026 implementation date.
