NEWS XTRA
NRS MAKES TAX ID MANDATORY FOR ALL TAXPAYERS
The Nigeria Revenue Service, in collaboration with the Joint Revenue Board, has announced the implementation of a new Taxpayer Identification system for all taxable persons in the country.
The agency disclosed this in a public notice issued on its official X handle on Monday, stating that the reform is backed by Sections 6, 7, and 8 of the Nigeria Tax Administration Act, 2025, which mandates every taxable person to obtain a Tax ID.
According to the NRS, the new system is aimed at strengthening tax administration, improving transparency, and streamlining service delivery across federal and sub-national tax structures.
The agency explained that the Tax ID would serve as a unified identity for taxpayers nationwide.
“The Tax ID will serve as a single, unified identity for all taxpayers, enabling seamless interaction with tax authorities at both federal and sub-national levels,” the NRS stated.
“It is designed to consolidate taxpayer records, eliminate duplication, and ensure more efficient management of tax-related information,” it added.
The revenue authority noted that the new system would simplify tax processes, including registration, filing, and payment procedures.
“The initiative will simplify tax compliance processes, including registration, tax filing, and payment procedures,” the agency said.
The NRS further explained that the reform would improve transparency and accountability in tax collection by enhancing visibility of taxpayer data and reducing revenue leakages.
“The system will improve transparency by enabling better visibility and tracking of taxpayer records while reducing leakages and improving accountability in tax collection,” the agency stated.
“The framework will also harmonise taxpayer information across all levels of government.”
The agency also announced that the new Tax ID system would replace the existing Tax Identification Number Validation API currently used by Ministries, Departments, and Agencies, financial institutions, and other organisations.
It directed organisations requiring integration or validation services for individuals, enterprises, and business names to contact the Standardisation and Modernisation Department of the Joint Revenue Board for access to the new API and integration guidelines.
Similarly, organisations handling corporate entity validation were advised to contact the Tax Automation Department of the NRS.
The reform forms part of broader efforts by revenue authorities to modernise Nigeria’s tax system and improve compliance through digital infrastructure.
"This represents a significant development in our ongoing coverage of current events."— Editorial Board