Accounting and Taxation in Nigeria: Global Perspectives, the 2025 Tax Reforms, and Practical Implications

Abstract

This article examines the evolving relationship between accounting and taxation in Nigeria, contextualised within globalisation trends and the 2025 Nigerian tax reforms. It explores the conceptual and functional interplay between financial reporting and fiscal policy, highlighting global models of integration, disconnection, and harmonisation. Drawing from peer-reviewed literature, policy reports, and statutory provisions, the study analyses the 2025 reforms’ structural changes, including the consolidation of tax laws, digital compliance mandates, and sector-specific incentives. Special attention is given to the implications for businesses, investors, and tax professionals, with emphasis on variable tax–accounting relationships, VAT redistribution adjustments, and compliance in the digital economy. The paper also addresses macroeconomic objectives such as revenue mobilisation, inflation control, and improving the tax-to-GDP ratio. Policy recommendations for legislators, best-practice guidance for practitioners, and areas for further research, particularly on digital taxation and sub-national fiscal impacts, are presented. The findings contribute to ongoing discourse on aligning accounting integrity with efficient, equitable, and sustainable tax systems in emerging economies