The Nigeria Revenue Service (NRS) has pledged to ensure transparency, fairness, and accountability in the collection and management of mining royalties under the newly implemented tax reforms transferring such responsibilities to the agency.
The assurance was given during a mining stakeholders’ workshop, according to a statement issued by the Executive Director of the Government and Large Taxpayers Directorate, Amina Ado.
The reforms, introduced under the 2025 tax laws signed by President Bola Ahmed Tinubu, place the collection of mineral royalties and related fees in the solid minerals sector under the authority of the NRS, while the Ministry of Solid Minerals Development continues as the sector regulator.
According to the agency, the new framework is designed to address long-standing issues in the mining industry, including illegal mining, weak regulatory oversight, and revenue leakages.
The NRS explained that the updated system would create a single point of tax administration for operators, reducing overlapping demands from multiple agencies and improving compliance through a clearer and more predictable structure.
It stated that the goal is to make the mining sector more formal, visible, and economically productive, rather than merely increasing taxation pressure on operators.
The agency also acknowledged concerns from industry stakeholders, assuring that the implementation of the reforms would be guided by clarity, fairness, and consistent application of rules across all operators, whether large-scale companies or artisanal miners.
Ado noted that weak oversight in the sector has historically allowed illegal mining activities and unregulated exploitation of resources in several parts of the country, including Zamfara, Niger, and Kaduna states.
She warned that such gaps had enabled illegal operators and foreign syndicates to thrive in mineral-rich communities without proper licensing or accountability.
The NRS emphasized that formalization of mining activities would not only improve revenue collection but also enhance security, legal protection, and sustainability within the sector.
It further stressed that Nigeria’s vast mineral resources, including gold, lithium, tin, limestone, barite, and iron ore, must be properly harnessed to drive long-term national development.
The agency reaffirmed its commitment to engaging stakeholders continuously and ensuring that the tax administration process supports both government revenue goals and the growth of the mining industry.
