Central Bank of Nigeria automates the export process with the introduction of e-Form ‘NXP’
The Central Bank of Nigeria (CBN), on 28 October 2019, released a circular (“the Circular”) informing the public about the deployment of an automated e-form ‘NXP’ (the Form) to replace hard copy form ‘NXP’ with effect from 31 October 2019.
FIRS releases the Income Tax (Common Reporting Standard) Regulations 2019
The Federal Inland Revenue Service (FIRS) recently released the Income Tax (Income Reporting Standard) Regulations (The Regulations). The Regulations seek to give effect to various international conventions, treaties and guidelines between Nigeria and other contracting States with respect to mutual administrative assistance, automatic exchange of financial account information and compliance with common reporting standards and the relevant provisions of the FIRS (Establishment) Act and Companies Income Tax Act relating to FIRS’ power to call for returns and access taxpayer’s records.
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).
FIRS demands penalties from erring taxpayers for failure to file CbCR notification
The Federal Inland Revenue Service (FIRS) has started issuing demand letters for payment of administrative penalties to taxpayers who did not file Country-by-Country Reporting (CbCR) notification forms with FIRS under Regulation 6(1) of the Income Tax (Country-by-Country Reporting) Regulations 2018 (the CbCR Regulations).
FIRS mandates taxpayers to obtain VAT registration certificates and display at their premises
The Federal Inland Revenue Service (FIRS), on 22 October 2018, notified the general public that it has commenced issuance of value-added tax (VAT) certificates to all new and existing taxpayers registered for VAT purposes. By the publication, FIRS also directed VAT collectors to display their VAT certificates at their business premises and implored taxpayers to report VAT collectors who fail to comply with this directive to the agency.
FIRS issues Nigeria’s Country-by-Country Reporting Regulations
The Federal Inland Revenue Service (FIRS) in exercise of powers conferred on it by Section 61 of the Federal Inland Revenue Service (Establishment) Act No.13 of 2007, and all other powers enabling it, has issued the Income Tax (Country by Country Reporting) Regulations, 2018 (the CbCR Regulations). The CbCR Regulations take effect from 1 January 2018, and form part of the enhanced tax disclosure requirements set out by Action 13 of the Base Erosion and Profit Shifting (BEPS) project. The Regulations aim at providing tax authorities with improved information to enable them better assess international tax avoidance risks. Under the CbCR Regulations, where the Ultimate Parent Entity (UPE) or a Constituent Entity (CE) of a Multinational Enterprise Group (MNE Group) is tax resident in Nigeria, such Nigerian resident entity will be required to file a Country-by-Country Report (CbC Report) with FIRS for an accounting year where the Group has a…
Tackling tax leakages in the 21st Century – What lessons can Nigeria learn from the OECD (2)?
In our last edition of InsideTax publication, we explored the concepts of tax avoidance and tax evasion and the impact of tax leakages on government revenue. We also highlighted some ways through which tax evasion occurs in Nigeria.
FIRS invites stakeholders to engagement meeting
The Federal Inland Revenue Service (FIRS) has invited stakeholders to an engagement meeting to discuss tax processes and measures that can be taken towards ensuring that tax compliance process is easier and more convenient for taxpayers.
FIRS introduces six electronic tax services
The Federal Inland Revenue Service (FIRS) has announced the introduction of six (6) new electronic tax services (e-services). The available e-services are: • e-Registration: for registration of new taxpayers with FIRS for the various taxes • e-Stamp Duty: for payment of stamp duties on qualifying documents • e-TaxPayment: for payment of all Federal Government taxes and levies through any of the following platforms – Nigeria Inter-Bank Settlement System (NIBSS), Remita and Interswitch • e-Receipt: for receiving and verifying e-receipts generated for taxes paid through the new e-TaxPayment • e-Filing: enables taxpayers file their tax returns through the FIRS’ Integrated Tax Administration System (ITAS) • e-TCC: this platform will enable taxpayers apply for, receive and verify authenticity of their electronic tax clearance certificates (e-TCC) The initiatives underscore the efforts of FIRS towards ensuring that key tax processes are automated in order to improve transparency, ease and speed of tax administration; for…
FG introduces new interest rate regime for outstanding tax payments
In its renewed bid to minimise tax evasion, deter non-compliance and promote voluntary compliance, the Federal Government of Nigeria has announced a new interest rate regime for unpaid taxes.