The Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, Taiwo Oyedele, has unveiled housing-focused tax reliefs under the new tax laws, declaring that land, buildings and rent are now fully exempt from Value Added Tax (VAT).
Oyedele said the reform, which has already taken effect, removes VAT on the purchase of land and completed buildings. It also eliminates VAT on both residential and commercial rent across the country.
According to him, the move is designed to reduce the cost of housing, stimulate investment in real estate and ease financial pressure on tenants and small businesses.
“Land and buildings are specifically exempt from VAT under the new tax regime. This means that individuals buying land or completed buildings will no longer pay VAT on such transactions,” he explained.
He added that rent is equally free from VAT, a measure expected to lower accommodation costs nationwide and support business sustainability.
The tax policy expert also dismissed viral claims circulating online that the new law imposes a 25 per cent tax on construction funds, bank balances or business expenses. He described the reports as misleading and urged Nigerians to rely on verified information regarding the reforms.
The housing-focused relief forms part of the broader fiscal reforms aimed at strengthening Nigeria’s tax system while promoting economic growth and social stability.
