Nigeria could gain an estimated $2.5 billion in additional public revenue annually if a proposed United Nations-backed overhaul of global corporate taxation is adopted.
The proposal seeks to ensure that multinational companies pay taxes in countries where they conduct significant economic activities, employ workers and make sales, rather than shifting profits to jurisdictions with lower tax rates.
A report by the Tax Justice Network and Public Services International estimated that countries worldwide could collectively recover about $500 billion in additional corporate tax revenue each year without increasing tax rates.
For Nigeria, the projected $2.5 billion annual gain could strengthen government revenue as the country pursues tax reforms, expands domestic revenue mobilisation and seeks to reduce dependence on borrowing.
The proposed framework is expected to be discussed during upcoming UN negotiations on a global tax convention. However, the $2.5 billion figure is only a projection and does not represent revenue Nigeria currently collects, as the framework would require international agreement and implementation by participating countries.
