FIRS to pursue directors and management staff for outstanding corporate tax liabilities

Federal Inland Revenue Service (FIRS) on Monday, 19 August 2019, issued a public notice mandating companies with lien on their accounts to regularise their tax status and pay the tax due within 30 days of the public notice. In the event of non-compliance within the stated timeline, FIRS has stated its intention to recover the tax liabilities from directors, managers, secretaries and other management staff of such companies.

Deadline for filing income tax and transfer pricing returns – avoid the last minute rush and material penalties

FIRS demands deduction of WHT/VAT at source on all forms of commission and rebates paid to distributors and customers

FIRS demands deduction of WHT/VAT at source on all forms of commission and rebates paid to distributors and customers

FRCN revokes rule requiring regulatory approval before recognising certain expenses

The Financial Reporting Council of Nigerian (“FRCN”) on Monday, 5 August 2019, issued a public notice which revoked its Rule 4, requiring regulatory approval for events/transactions having financial reporting implications prior to recognising same in the financial statements.

NSE to resume charging VAT on commissions applicable to capital market transactions

NSE to resume charging VAT on commissions applicable to capital market transactions

The Nigerian Stock Exchange (NSE), on 10 July 2019, issued a circular on the expiration of Value Added Tax (Exemption of Commissions on Stock Exchange Transactions) Order, 2014 (the Circular).

Court of Appeal affirms the applicability of VAT on services rendered by a non-resident company

The Court of Appeal (CoA), on 24 June 2019, upheld the decision of the Federal High Court (FHC), in the case between Vodacom Business Nigeria Limited (‘Vodacom’ or ‘Appellant’) and Federal Inland Revenue Service (‘FIRS’ or ‘Respondent’).

Deadline for filing income tax and transfer pricing returns – avoid the last minute rush and material penalties

Deadline for filing income tax and transfer pricing returns – avoid the last minute rush and material penalties

The Companies Income Tax Act (CITA) and Income Tax (Transfer Pricing) Regulations 2018 (the TP Regulations) require corporate taxpayers to file annual companies income tax (CIT) and TP returns within six (6) months after their financial year-end (i.e., due date for filing).

Tax Appeal Tribunal clarifies contentious issue on the taxability of gratuity

On 20 June 2019, the Tax Appeal Tribunal (TAT), in the case between Nigeria Breweries Plc (Appellant) and Abia State Board of Internal Revenue Service (Respondent), ruled that gratuity is not liable to personal income tax.

Tax Appeal Tribunal relieves employers of tax obligation on voluntary pension contribution

The obligation to account for taxes due on withdrawal of voluntary pension contributions was made clearer in the judgement delivered yesterday by the Tax Appeal Tribunal on a case between Nexen Petroleum Nigeria Limited and Lagos State Internal Revenue Service

LIRS to introduce unique biometrics-based identifier for taxpayers

LIRS to introduce unique biometrics-based identifier for taxpayers

The Lagos State Internal Revenue Service (LIRS) has issued a public notice (the Notice) on its intention to integrate the LASG-EBS Taxpayer Identification Digit (PID) module into the National Tax Identification Number (TIN) system with the Joint Tax Board (JTB). The TIN module is biometrics-based, with the aim of ensuring identity uniqueness for taxpayers.

2019 Federal Budget Signed into law

Federal Government of Nigeria’s 2019 Budget signed into law

President Muhammadu Buhari has signed the 2019 budget of the Federal Government of Nigeria into law. The Budget, which was signed on Monday, 27 May 2019, puts total spending for 2019 at ₦8.92 trillion.