The days of queuing to apply for a separate Tax Identification Number (TIN) in Nigeria are officially over.
In a sweeping reform announced Monday, the Federal Inland Revenue Service (FIRS) declared that existing identification numbers will now double as tax identifiers. This move integrates the NIN as Tax ID for individuals and uses corporate registration numbers for businesses.
This policy shift aims to streamline the bureaucracy that often frustrates taxpayers.
NIN as Tax ID: What Changes for You?
The new system removes the need for multiple documents and physical tax cards.
Instead, the government is leveraging existing databases to create a unified digital footprint. This synergy involves the National Identification Number (NIN) and the Corporate Affairs Commission (CAC).
Here is the breakdown of the new identifier structure:
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Individuals: Your NIN automatically serves as your Tax ID.
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Businesses: The CAC RC Number serves as the official tax identifier.
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Unified Database: All federal and state records will merge into this single number system.
Consequently, taxpayers can manage their compliance obligations without visiting FIRS offices to generate new numbers.
Banking Deadline Set for 2026
This administrative update comes with a strict deadline attached to the banking sector.
Starting January 1, 2026, the Nigeria Tax Administration Act (NTAA) will mandate a valid tax identifier for key financial transactions. Most critically, operating a bank account will require this identification.
Taiwo Oyedele, Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, confirmed the trajectory of the new law. He noted that while similar provisions existed in the Finance Act of 2019, the 2026 deadline marks a definitive enforcement point for banks to capture taxable citizens.
Closing Loopholes and Boosting Transparency
The FIRS describes the transition as a push for “efficiency and transparency.”
By linking tax data directly to the NIN and CAC registries, the federal government intends to drastically reduce tax evasion. The system is designed to catch individuals who currently fly under the radar.
Furthermore, this consolidation eliminates redundant entries in the national database. The ultimate goal is a fairer system where every income earner contributes their share to the nation’s revenue.
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