FIRS Open Talks with Netherlands to Align Tax Treaty with New Reforms
FIRS Open Talks with Netherlands to Align Tax Treaty with New Reforms
The Executive Chairman of the Federal Inland Revenue Service (FIRS), Dr. Zacch Adedeji, has hosted a delegation led by His Excellency, Bengt van Loosdrecht, Ambassador of the Kingdom of the Netherlands to Nigeria, for the opening ceremony of the renegotiation of the Double Taxation Agreement between Nigeria and the Netherlands.
Newera News learned that the event, held at the Revenue House in Abuja, marked the beginning of a new phase in Nigeria’s international tax relations.
Following the signing of the Tax Reform Bill into law by President Bola Tinubu on June 26, 2025, interest in Nigeria’s new tax structure has already started to grow. In less than a week, both local and international stakeholders have begun to respond.
Among them is the Kingdom of the Netherlands, one of Nigeria’s long-standing trade and investment partners, which is now the first foreign government to begin formal talks with Nigeria to renegotiate its existing tax agreement.
The goal is to align the deal with new reforms and eliminate outdated terms, particularly those related to double taxation, which no longer represent current realities.
Dr. Zacch welcomed the delegation on behalf of the President, Government, and people of Nigeria.
He described the visit as timely, especially considering recent changes in both domestic and global tax systems.
He said: “Recent developments in the domestic and global tax landscape have made the review of the existing agreement unavoidable. Particularly, the tax reforms being carried out by our government, global measures against Base Erosion and Profit Shifting (BEPS), and other evolving international tax standards will render the extant agreement out-of-date.”
He further emphasized that the discussions align with the policy direction of the current administration and reflect Nigeria’s commitment to a transparent and fair process;
“This renegotiation meets with the policy objectives of the ongoing fiscal and tax reforms initiated by the administration of President Bola Tinubu. We are committed to broadening the domestic tax base, strengthening tax administration, and ensuring that our tax system supports inclusive economic growth,” he said.
In his remarks, the Netherlands envoy expressed appreciation for the warm welcome and highlighted the spirit of cooperation guiding the negotiations.
He noted: “The fact that we meet here today is an indication of the goodwill and the good faith in which we want to meet with each other. And I can assure you that my colleagues from the Netherlands will act in good faith. That is always an important basis for good negotiations.”
Reflecting on the nature of treaty talks, he expressed optimism about the process and the teams involved; “Ultimately, a treaty is about finding common ground and building upon that common ground. I know both of our sides have very competent, professional teams, and I am confident we will have a very fruitful week.”
The recent tax reform bills that have been signed into law include the Nigeria Tax Act, the Nigeria Tax Administration Act, the Nigeria Revenue Service (Establishment) Act, and the Joint Tax Board (Establishment) Act. These Acts reorganize the management of taxes in Nigeria.
The next six months will be dedicated to harmonizing tax data, implementing the recently signed laws, and establishing systems in preparation for the launch of the Nigeria Revenue Service (NRS) on January 1, 2026. This transition period will also include a review of existing tax agreements to ensure they align with the new reforms. reforms.
