NATIONAL TAX POLICY
Policy · Finance
A Policy provides the framework and principles for developing and administering Nigeria's tax system at federal, state, and local levels. It targets tax authorities, policymakers, taxpayers, and practitioners across all sectors. This aims to create a stable, fair, and efficient tax system that generates revenue while minimizing economic distortions.
NATIONAL TAX POLICY
What Is This Policy?
Nigeria's overarching policy document that provides the framework, principles, and direction for the development and administration of Nigeria's tax system at federal, state, and local government levels.
Who Does It Target?
Federal and state tax authorities (FIRS, SIRS) Tax policy makers and legislators Taxpayers in all sectors Tax practitioners and advisers
What Does It Aim to Achieve?
Create a stable, fair, efficient, and transparent tax system that generates adequate revenue for all tiers of government while minimising distortions to economic activity.
Key Features
Tax Simplification: Advocates reduction of the number and complexity of taxes imposed on businesses and individuals. Broad Tax Base: Promotes widening of the tax base to bring more individuals and businesses within the formal tax net. Taxpayer Rights: Codifies taxpayer rights including the right to certainty, fairness, and efficient dispute resolution. Technology Integration: Drives automation of tax administration to reduce compliance costs and opportunities for evasion.
Current Status
Rollout Stage: Active - being implemented through FIRS and SIRS reform programmes Coverage: Nationwide, covering all tiers of government Beneficiaries: Nigerian public through improved public revenue; taxpayers through a fairer system Funding: Federal Government
How to Access
Businesses and individuals must register for tax purposes with the relevant authority Tax practitioners must be members of a recognised professional body Application method: Tax registration: contact FIRS at https://www.firs.gov.ng or the relevant State Internal Revenue Service.
Important Terms
Tax evasion is a criminal offence Policy is aspirational; specific legal obligations arise from tax statutes not the policy document Finance Acts are the primary vehicle for implementing tax policy changes
Official Resources
Website: https://www.finance.gov.ng Contact: Federal Ministry of Finance / Federal Inland Revenue Service (FIRS)
Legal Framework
Operates under the Federal Inland Revenue Service Establishment Act 2007, the Companies Income Tax Act 2004 (as amended), the Personal Income Tax Act (as amended), the Value Added Tax Act (as amended), the Customs and Excise Management Act, and the Fiscal Responsibility Act 2007. Draws on OECD guidelines on tax policy and administration.