NRS Takes Over Mineral Royalties Under New Tax Regime
Shift in Revenue Collection Framework
THE Nigeria Revenue Service (NRS) has officially assumed responsibility for the collection of mineral royalties from mining operators nationwide, marking a significant shift in Nigeria’s fiscal administration.
The transition, which took effect on 1st January 2026, follows the implementation of the Nigeria Tax Laws 2025 signed into law by Bola Ahmed Tinubu in June 2025.
Under the new arrangement, the Ministry of Solid Minerals Development will retain its role in technical regulation and sector oversight, while the NRS will handle revenue collection and accounting.
Inter-Agency Collaboration Takes Centre Stage
The development emerged from a high-level meeting between the Minister of Solid Minerals Development, Dele Alake, and the NRS Chairman, Zacch Adedeji, aimed at strengthening coordination between both institutions.
According to a joint statement, the ministry will continue to provide critical support through mineral pricing data, geological insights, and industry coordination to ensure efficient royalty administration.
Officials emphasised that the collaboration is designed to streamline operations while maintaining sector-specific expertise within the ministry.
Digital Reforms and Industry Sensitisation
As part of the transition, both agencies announced plans to deploy a modern, end-to-end digital system for royalty administration, aimed at improving transparency, efficiency, and compliance.
In addition, a nationwide sensitisation programme will be launched to educate mining operators on new filing and payment procedures under the revised tax framework.
Regular technical sessions are also expected to address operational challenges and ensure seamless implementation of the policy.
Boosting Transparency and Sector Growth
Authorities say the new arrangement is intended to enhance accountability in revenue collection while supporting the long-term growth of Nigeria’s solid minerals sector.
By centralising federally collectable revenues under the NRS, the government aims to improve efficiency and reduce leakages.
Mining operators have been urged to comply with the new regulations and actively participate in sensitisation initiatives to ensure a smooth transition.
