FIRS issues Public Notice on Mandatory Requirements for Registration for Tax Purposes

Pursuant to the provisions of Section 8(1)(l) and (m) of the Federal Inland Revenue Service (Establishment) Act 2007, the FIRS (or “the Service”) has issued a Public Notice on the statutory requirements for taxpayers to register for tax, irrespective of whether their profits are exempted from tax or not.

Based on the Public Notice, the registration is to enable the FIRS to maintain a reliable, accurate and up-to-date database of all taxpayers and government agencies involved in tax revenue collection. The FIRS noted that the database will use International Standard Industry Classification coding system to classify taxpayers based on the nature of their businesses to ensure a robust end-to-end registration and improve the quality of service delivery.

To this end, taxpayers are required to complete and submit a signed input registration form containing the following information as may be relevant to their class:

(i) For companies, both resident and non-resident:

• Name of company
• Business address
• Registered address
• Nature of business
• Date of incorporation
• Date of commencement of business
• Valid e-mail address
• GSM number of a principal officer
• Directors’ particulars.

(ii) For enterprises, individuals, partnerships, trusts and non-resident individuals:

• Registered business/ Personal name
• Business number/ National Identity Number
• Registered address (if applicable)
• Employment status (self-employed or individual in employment)
• Employment type (i.e., Police, Armed Forces or Foreign Affairs)
• Nature of business
• Valid email address
• GSM number
• Personal address for individuals
• Date of birth.

(iii) For Non-Governmental Organisations (NGOs) and Government Establishments (MDAs):

• Name of NGO/ MDA
• Date of registration with Corporate Affairs Commission (for NGOs)
• Nature of activity undertaken
• Details of Trustees
• Registered address
• Valid e-mail address
• GSM number of any of the Trustees or authorised officer
• Directors’ or trustees’ particulars

The completed and signed registration input form is to be submitted alongside the following support documents:

• Copy of certificate of incorporation/registration
• Certified true copy of Memorandum and Articles of Association (for companies)
• Constitution (for NGOs)
• Proof of address (utility bill or bank statement)

Further, the Public Notice advises taxpayers to ensure that changes in the information provided to the Service during the registration process are reported within the stipulated timeline provided in the relevant tax laws.

KPMG Comments

A complete and accurate information is at the core of an effective tax administration in this digital era. Thus, a robust database of taxpayers will enable the FIRS to leverage technology to improve tax administration processes, quality of service and reduce the cost of tax compliance.

Taxpayers should, therefore, ensure that their information are completely and accurately captured with the FIRS in line with the provisions of the law. Further, taxpayers are advised to promptly notify the FIRS of any change in their business information, such as change of address, to avoid unnecessary imposition of penalty as stipulated in the relevant tax laws.