Awareness of Nigeria’s 2026 tax reforms, which took effect at the start of the year, varies sharply across the country, exposing major gaps in policy communication and public engagement, according to new findings by The FATE Institute.
The data, drawn from the 2025 State of Entrepreneurship Survey, sampled 10,882 businesses across Nigeria’s 36 states and the Federal Capital Territory (FCT). The results show that while some states are well-informed about the new tax framework, many others remain largely in the dark.
States With Highest Awareness
Kogi State emerged as the most informed, recording a 96.8% awareness rate among entrepreneurs — positioning it as one of the most prepared states for the new tax regime. It was followed by Bauchi (72.3%) and Kano (70.4%).
Other states with relatively strong awareness levels include Taraba (69.8%), Ebonyi (69.2%), Borno (68.3%), and the FCT (64.9%). Completing the top ten are Katsina (63.6%), Nasarawa (60.1%), and Bayelsa (58.6%).
Lagos Ranks Surprisingly Low
Despite being Nigeria’s commercial hub, Lagos State ranked 13th, with just 49.7% awareness. States hovering around the national midpoint include Adamawa (54.1%), Kwara (50.3%), Plateau (48.9%), and Niger (44.9%).
Below the 40% mark are Oyo (42.4%), Osun (39.8%), and Kebbi (38.0%), suggesting limited penetration of reform-related information.
Large States, Low Awareness
Alarmingly, several states with large populations and significant economic activity recorded low awareness levels. These include Benue (36.8%), Zamfara (35.8%), Yobe (35.5%), Kaduna (35.2%), Sokoto (34.6%), and Cross River (34.1%).
In the South-East and South-South, awareness remained weak across multiple states, including Enugu (32.7%), Ondo (32.6%), Rivers (29.5%), Anambra (29.4%), Ogun (28.5%), and Delta (28.5%).
Lowest Awareness Nationwide
The lowest awareness levels were recorded in Akwa Ibom (17.5%), Ekiti (15.6%), and Imo (13.9%). They were followed by Gombe (12.8%), Edo (11.8%), and Jigawa (11.7%). Abia State ranked last, with a worrying 1.4% awareness rate, indicating near-total absence of exposure to information about the reforms.
Communication Gap and Misinformation
Analysts describe the findings as a scorecard of uneven information dissemination, despite public sensitisation efforts by media organisations and the Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele.
The awareness gap has reportedly fueled misinformation and anxiety among business owners — a situation Oyedele has previously described as causing “unnecessary panic.”
The report underscores the urgent need for coordinated national communication campaigns, grassroots engagement, and consistent messaging to ensure entrepreneurs fully understand the reforms.
Without this, experts warn that compliance will remain uneven, undermining the objectives of the tax reforms and widening the trust gap between policymakers and the business community.
