The implementation of Nigeria's new tax law, which took effect on January 1, 2026, has led to widespread confusion and creative attempts at compliance among everyday citizens. A viral social media post from a young man has highlighted the surprising advice some are receiving to navigate the new financial landscape.
Market Encounter: 'Put Gift for the Description'
A Nigerian man, identified on the X platform as @Adebayo_017, shared his experience on the very day the law became active. He recounted visiting a market where, after making a purchase, he attempted to transfer a small sum of N2,000 to the market woman's bank account.
To his amusement, the woman urgently advised him to write 'gift' in the transaction description field. She believed this narration would prevent the tax authority from deducting any funds from the transfer. The man quoted her exact words: "she say make I put 'gift' for the description ooo."
While finding the situation hilarious, the man expressed his disbelief, questioning online whether the government would actually tax such a minor amount. "Laugh wan kill me I no fit just laugh. them go comot tax for the 2k wey I wan send? I don dieee oooo," he wrote.
Mixed Reactions Flood Social Media
The post quickly attracted comments from other Nigerians, revealing a mix of similar experiences, skepticism, and attempts to clarify the law.
Some users confirmed receiving identical advice. User @uzi_is_him noted, "Them don tell me this thing like 3 times," while @heisMartinsutd pragmatically advised, "Better put gift o."
However, others were quick to debunk the myth. User @lexcyscott2 warned, "Putting gift doesn't mean they wouldn't take the tax you fraud." In a more detailed explanation, Liberty Oseni, PhD (@OseniDevTalks) stated, "If You Believe Transaction Narration Stops Tax, You Might Also Believe Salt and Water Cure Ebola. Taxes are deducted based on the amount involved in a transaction, not the story you write in the narration. Banking systems are automated."
Another user shared a related anecdote about buying akara (bean cakes), where the elderly seller asked if he had written "akara" in the transfer. He reassured her that the tax was likely aimed at higher earners.
Clarifications and Broader Context
The confusion arises despite efforts by authorities like Mr. Taiwo Oyedele, Chairman of the Presidential Committee on Tax Reform, to explain the new system. The government had previously announced that the law would commence on January 1, 2026.
Interestingly, not all early transactions under the new law have seen deductions. In a separate report, another Nigerian man shared that he transferred N20,000 on January 1 without any tax being removed, contradicting some of the fears circulating online.
This incident underscores the significant communication gap and public anxiety surrounding new fiscal policies. While the "gift" narration is unlikely to bypass automated tax systems, the story reveals how ordinary Nigerians are scrambling to understand and adapt to the new financial regulations affecting their daily lives and small-scale commerce.
