FIRS launches electronic invoicing system for taxpayers

The Federal Inland Revenue Service (FIRS) has rolled out an electronic invoicing solution designed to streamline tax compliance for Nigeria’s largest companies.

The e-invoicing system, which went live on August 1, targets companies with annual turnover of N5 billion and above as part of efforts to modernize the country’s tax administration.

According to a statement by Dare Adekanmbi, Special Adviser on Media to the FIRS Chairman, Zacch Adedeji, the initiative follows a successful pilot programme that commenced in November 2024.

Within two weeks of launch, approximately 1,000 companies representing 20 per cent of the over 5,000 eligible firms, have integrated with the FIRS Merchant-Buyer Model platform.

MTN Nigeria became the first company to transmit live electronic invoices through the system, while Huawei Nigeria and IHS Nigeria have completed test transmissions and are preparing to go live.

The revenue service has extended the compliance deadline to November 1, giving companies additional time to complete their onboarding processes following operational challenges encountered by some taxpayers.

“In the spirit of encouraging voluntary compliance, the FIRS management has graciously approved a three-month extension,” the statement noted.
The electronic fiscal system provides real-time visibility into commercial transactions and ensures invoice authenticity and accuracy. The FIRS developed the solution in collaboration with the National Information Technology Development Agency (NITDA), incorporating service providers to facilitate integration processes.

The phased rollout will eventually extend to medium and emerging taxpayer categories, aligning with global best practices and supporting the federal government’s revenue assurance objectives.

The system serves as a key implementation tool for the Nigeria Revenue Services Reform Act, which aims to harmonize revenue reporting and establish unified government revenue records.

The FIRS plans continued stakeholder engagement through webinars, workshops and town hall meetings to ensure smooth transition for all large taxpayers.