The Nigeria Revenue Service (NRS) will now take over the collection of mineral royalties from mining companies nationwide in line with ongoing reforms in the country’s tax system.

This decision followed a meeting between the Minister of Solid Minerals Development, Mr Dele Alake, and the Chairman of the NRS, Dr Zacch Adedeji, held on Thursday in Abuja.

Under the new structure, the Ministry of Solid Minerals Development will continue to supervise and regulate activities in the mining sector, while the NRS will handle the collection and accounting of all royalties due to the government.

The meeting focused on strengthening collaboration between both institutions and ensuring a smooth implementation of the new framework.

According to a statement issued on Friday by Dare Adekanmbi, Special Adviser to the NRS Chairman, the new arrangement takes effect from January 1, 2026. It is based on the Nigeria Tax Laws 2025, which gave the NRS the authority to administer all federally collectable revenues.

The statement explained that the transition was agreed upon by both parties and formally documented in a joint statement endorsed by the minister and the NRS chairman.

“The Ministry of Solid Minerals Development and the Nigeria Revenue Service wish to inform mining operators and the general public of the outcome of their meeting held on April 2, 2026, on the collaborative implementation of mineral royalty administration under the Nigeria Tax Laws 2025,” the statement said.

It added, “Following the enactment of the laws by President Bola Tinubu on June 26, 2025, the administration of mineral royalties, effective January 1, 2026, has transitioned to NRS.”

Despite the shift in revenue collection, the ministry will remain actively involved in the process by providing technical support. This includes supplying mineral pricing data, geological information, and coordinating industry activities to support royalty administration.

“The Ministry of Solid Minerals Development continues to serve as a vital technical partner, providing mineral pricing data, geological information, and industry coordination in support of the royalty process,” the statement added.

Both institutions said they would work closely to ensure that mining operators clearly understand the new system and comply with the requirements without disruption to their operations.

To support this, the government plans to roll out a nationwide sensitisation programme aimed at educating operators on how to file and pay royalties under the new tax regime.

In addition, authorities are developing a modern digital system that will manage the entire royalty process from start to finish. Regular technical meetings between the ministry and the NRS are also expected to address any operational challenges that may arise.

The statement assured stakeholders that the new arrangement is designed to improve transparency and efficiency in revenue collection while supporting the growth of the mining sector.

“The Ministry of Solid Minerals Development and NRS assured mining operators and the public that both institutions are fully aligned and committed to working together to implement the new royalty framework in a manner that is orderly, transparent, and supportive of the mining sector,” it said.

Mining operators were advised to continue meeting their obligations as required under the law and to take part in the upcoming sensitisation programmes to better understand the new system.

(The Nation)

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