The Federal Inland Revenue Service (FIRS) is preparing for a massive digital overhaul. The agency has signed a strategic cooperation agreement with France to modernize Nigeria’s tax administration.
This landmark deal comes just weeks before a historic shift. In January 2026, the FIRS will formally transition into the Nigeria Revenue Service (NRS).
FIRS Chairman Zacch Adedeji signed the pact in Abuja with French Ambassador Marc Fonbaustier. The collaboration aims to boost revenue collection through advanced technology and stricter enforcement.
A Digital Leap for 2026
The timing of this agreement is critical. As the agency evolves into the NRS, it requires a stronger technological backbone.
This partnership with France’s tax authority, Direction Générale des Finances Publiques (DGFiP), addresses that need. Adedeji described the alliance as a cornerstone for building a “modern, trusted, and innovative” institution.
The core objective is to leverage France’s global expertise in three key areas:
- Automated compliance systems.
- Data-driven audits.
- Artificial Intelligence (AI) deployment.
France is a leader in e-filing and algorithm-driven tax tools. Consequently, the Federal Government hopes to replicate these systems to increase efficiency without adding new taxes.
Fighting Global Tax Evasion
Beyond technology, the Memorandum of Understanding (MoU) targets international tax fraud.
Businesses increasingly operate across borders. Therefore, the agreement creates a framework to tackle complex issues like Transfer Pricing and Base Erosion and Profit Shifting (BEPS).
“As economic activities become increasingly borderless, the ability of both our institutions to collaborate, share intelligence and harmonise approaches will be crucial,” Adedeji stated.
This is vital for Nigeria’s economy. The country currently struggles with a low tax-to-GDP ratio of 6 to 10 percent. This figure is significantly lower than the African average of 15 percent.
exchanging Human Capital
The partnership is not a one-way street. Nigeria plans to adopt France’s rigorous professional standards. However, France also stands to gain from the collaboration.
Adedeji highlighted Nigeria’s strength in managing a “young, dynamic and diverse workforce.” He believes this experience will offer fresh insights to the European agency.
Ultimately, the goal is a two-way exchange. This will strengthen institutional culture in both nations as they face modern challenges like cybersecurity and cross-border taxation.
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