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Fintech Launches Smart Payroll Tool as Nigeria Rolls Out New Tax Laws

A Nigerian financial technology (fintech) company has launched a payroll automation and tax compliance platform designed to help businesses adapt to the country’s new tax regime, the firm said as implementation of revised tax laws approaches at the end of January 2026.

Paypaxe, the fintech behind the innovation, introduced the solution at a launch event in Abuja on Friday, January 23, 2026.

According to Ms. Belema Mary Maxwell, Founder of Paypaxe, the platform will enable employers to automate payroll processes and ensure alignment with updated tax requirements under the Nigeria Tax Act 2025 and related legislation.

Maxwell said the solution is intended to ease the administrative burden on businesses and reduce the risk of non-compliance as enforcement of the new tax framework begins.

Nigeria’s tax landscape has undergone significant overhaul with the enactment of the Nigeria Tax Act 2025, the Nigeria Tax Administration Act 2025, and other related laws that reshape how individuals and businesses calculate, report and remit taxes.

The reforms, effective January 1, 2026, introduce digital reporting requirements, updated tax bands and compliance protocols, and new enforcement mechanisms aimed at broadening the tax base and strengthening revenue collection.

The shift to a digitally-enabled tax system is creating demand for technology solutions that help enterprises align internal processes with regulatory expectations.

Industry observers note that automation and tax compliance tools are becoming integral for businesses navigating the new regime, especially as authorities emphasise electronic invoicing, real-time reporting and strict adherence to statutory deadlines.

Ms. Maxwell said the new payroll platform integrates functions that automate salary calculations, statutory tax deductions, pension and other mandatory remittances, and compliance documentation.

She highlighted that these features are critical for companies seeking to avoid penalties and streamline their human resource and tax operations under the updated laws.

The platform also supports automated tax reporting and compliance workflows, reducing the need for manual entries and minimising errors that can lead to regulatory challenges.

Paypaxe said the solution targets small, medium and large enterprises across sectors, particularly those with complex payroll and tax structures.

Business and technology leaders have welcomed innovations that assist with compliance under the new tax regime, which places significant emphasis on digital reporting and system integration.

Analysts say such tools could lessen the compliance burden on employers and encourage timely remittances, which are central to the success of Nigeria’s fiscal reform agenda.

However, stakeholders also caution that technology adoption must be paired with awareness campaigns and capacity building, especially for smaller businesses that may lack internal expertise in tax automation or digital systems.

As Nigeria moves toward full implementation of its revised tax laws, technology solutions like the Paypaxe payroll automation platform are expected to play an increasingly important role in helping businesses achieve compliance and optimise their operations.

Firms are urged to familiarise themselves with both the regulatory changes and available digital tools to ensure seamless adaptation to the new tax regime.

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Michael Victor

Editor Green Horizon News

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