FIRS Confirms NIN Will Now Serve as Tax Identification Number

 

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The Federal Inland Revenue Service (FIRS) has confirmed that the National Identification Number (NIN) issued by the National Identity Management Commission now serves as the official Tax Identification Number for individual Nigerians.

The clarification was made on Monday through a public awareness message shared by the tax authority on X, as part of efforts to educate citizens on the provisions of Nigeria’s updated tax laws. 

According to FIRS, Nigerians no longer need to apply separately for a Tax Identification Number, as their existing NIN automatically functions as their Tax ID.

The Service further explained that the reform also applies to registered businesses. Under the new system, companies will no longer be required to obtain a separate Tax Identification Number.

 Instead, their Corporate Affairs Commission registration number will serve as their official tax identifier.

FIRS said the move is aimed at simplifying tax administration and eliminating the confusion surrounding multiple identification numbers previously issued by different tax authorities.

 By unifying all tax identifiers into a single system, the agency believes the reform will reduce duplication, close loopholes, and improve compliance across the country.

The clarification comes amid widespread public concern following reports that a Tax ID would be required for certain financial and legal transactions, including opening and operating bank accounts.

 Many Nigerians expressed fears that the new requirement could create additional hurdles, particularly for those who were unsure of how to obtain a Tax Identification Number.

Addressing these concerns, FIRS stated that the requirement is not new. The agency noted that the use of a Tax ID for specified transactions was first introduced under the Finance Act of 2019 and has now been reinforced under the Nigeria Tax Administration Act.

According to the Service, the Nigeria Tax Administration Act is scheduled to take effect in January 2026 and provides a clearer framework for tax identification and compliance. The law mandates the use of a unified Tax ID for transactions deemed relevant under the tax system.

“For individuals, your NIN automatically serves as your Tax ID, while for registered companies, your CAC registration number is used,” FIRS said. “There is no need for a physical card, as the Tax ID is a unique number linked directly to your identity.”

FIRS explained that the updated system is designed to make tax processes more efficient, reduce tax evasion, and ensure fairness by bringing more eligible taxpayers into the tax net.

 The agency added that linking tax records directly to existing identity systems will improve transparency and accountability in revenue collection.

The Service also urged Nigerians to ignore misinformation surrounding the tax reforms, assuring the public that the changes are intended to make compliance easier rather than more difficult. 

According to FIRS, the reforms are part of broader efforts by the Federal Government to modernize tax administration and improve service delivery.

As implementation approaches, FIRS encouraged individuals and businesses to ensure their NIN and CAC records are properly registered and updated, noting that accurate data will help ensure a smooth transition under the new tax framework.

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