THE NEW TAX ACTS & TAX ID — WHAT YOU NEED TO KNOW

⭕️Only someone who engages in economic activity to earn income is taxable - taxable person.

⭕️All taxable persons to register with the tax authority & obtain a Tax ID.

⭕️Banks & other financial institutions are required to request a Tax ID from taxable persons.

⭕️Your NIN or CAC RC No. will serve as yout Tax ID.

⭕️Your existing TIN remains valid.

Taxable ID is a unique number linked to your identity.

⭕️You can obtain one from FIRS, State IRS, or JTB offices. It is also available online via FIRS website.

⭕️Tax ID is free.

⭕️For registered businesses, your personal TIN/Tax ID is sufficient.

⭕️Unregistered entities [NGOs, incorporated trustees, and other registered entities inclusive] visit the FIRS or apply online with your CAC documents to get one.

⭕️Foreign-based Nigerians can obtain a Tax ID using their NIN for banking or investment purposes in Nigeria. Check the NIMC website.

⭕️Foreign companies and non-resident entities providing services to Nigerian customers need a Tax ID. However, those on passive incomes like dividends, royalties, rent may not need to register but must provide relevant information.

⭕️Govt Agencies are not exempted from taxes - all must register for tax and obtain their Tax ID.

⭕️A taxable person without a Tax ID may not be able to operate bank accounts, insurance policies, pension accounts, or investment accounts by 01 Jan 2026.

⭕️There are other sanctions also applicable to taxable persons without Tax ID.

⭕️This process will simplify identification, reduce duplication, and close loopholes that allow tax evasion.

⭕️There will be fairness so that everyone who earns taxable income contributes their share while protecting low-income citizens who are not taxable.

#Statisense

(Tax Reforms Committee)