- As NBA raises concerns over alterations to new tax law
The Federal Inland Revenue Service (FIRS) has said that the National Identification Number (NIN) will automatically serve as the Tax Identification Number (TIN) for individual Nigerians, while the Corporate Affairs Commission (CAC) registration number will serve as the tax ID for registered businesses.
FIRS, as part of its public awareness campaign on the new tax laws, stated this on its X handle.
This is even as the Nigerian Bar Association (NBA) has called for a comprehensive investigation into the controversy trailing the new tax law, as such controversy casts doubts on the country’s legislative process.
The new tax laws are meant to come into effect in January 2026.
The clarification by the FIRS comes amid public concerns over provisions in the new tax laws requiring a Tax ID for certain transactions, including bank account ownership.
According to the FIRS, “The Nigeria Tax Administration Act (NTAA), set to take effect in January 2026, mandates the use of a Tax ID for specific transactions.”
The Service stressed that this requirement is not new, noting that it has existed since the Finance Act of 2019 and has now been reinforced under the NTAA.
The FIRS said, “The Tax ID unifies all Tax Identification Numbers previously issued by the FIRS and State Internal Revenue Services into a single identifier.
“For individuals, your NIN automatically serves as your Tax ID, while for registered companies, your CAC RC number is used. You do not need a physical card, as the Tax ID is a unique number linked directly to your identity.”
The FIRS explained that the new system aims to simplify taxpayer identification, eliminate duplication, prevent tax evasion, and ensure fairness by making sure all individuals with taxable income contribute their share.
The Service also urged the public to ignore any misinformation about the reform, assuring Nigerians that the updated tax framework is intended to enhance efficiency and transparency in tax administration.
In recent weeks allegations of illegal alteration have trailed the new Nigerian Tax Administration Act, with many calling for its outright cancellation.
The latest voice in the call for the withdrawal of the Act following the alleged discrepancies between the passed bill and the gazetted Act is the Nigerian Bar Association (NBA).
The body in a statement on Tuesday, with the title ‘Tax reform Acts: controversies cast doubts on the sanctity of Nigeria’s lawmaking processes’, said the controversies trailing the newly enacted tax laws raise serious concerns about the integrity, transparency and credibility of Nigeria’s legislative process.
The statement signed by the national president of the association, Mazi Afam Osigwe, called for a comprehensive, open and transparent investigation to clarify the circumstances surrounding the enactment of the laws and to restore public confidence in the legislative process.
“Until these issues are fully examined and resolved, all plans for the implementation should be immediately suspended,” the NBA said.
“Legal and policy uncertainty of this magnitude has far-reaching consequences. It unsettles the business environment, erodes investor confidence and creates unpredictability for individuals, businesses and institutions required to comply with the law. Such uncertainty is inimical to economic stability and should have no place in a system governed by the rule of law.”
The NBA called on all relevant authorities to act swiftly and responsibly in resolving the controversy in the overriding interest of constitutional order, economic stability and the preservation of the rule of law.
