By our Reporter
The Federal Inland Revenue Service (FIRS) has announced that the National Identification Number (NIN) issued by the National Identity Management Commission (NIMC) will now automatically serve as the Tax Identification Number (Tax ID) for individual Nigerians. The Service disclosed this in a public awareness campaign on X on Monday as part of explanations around the new tax laws scheduled to take effect from January 2026.
The FIRS also clarified that for registered businesses, the Corporate Affairs Commission (CAC) Registration (RC) number will automatically function as their Tax ID under the new tax system. This clarification comes amid public concerns over provisions of the Nigeria Tax Administration Act (NTAA), which mandate the use of a Tax ID for certain transactions, including banking-related activities.
According to the FIRS, the requirement for a Tax ID is not entirely new, noting that it has existed since the Finance Act of 2019 but has been strengthened under the NTAA. The agency explained that the new Tax ID unifies all Tax Identification Numbers previously issued by the FIRS and state internal revenue services into a single identifier linked directly to an individual’s or company’s identity, with no need for a physical card.
The Service added that the new system is aimed at simplifying identification, reducing duplication, closing loopholes for tax evasion, and promoting fairness by ensuring that everyone who earns taxable income contributes appropriately. With this development, all Nigerians who already have a NIN automatically have a Tax ID and can be easily brought into the tax net once they earn taxable income.
Meanwhile, Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, Mr. Taiwo Oyedele, has clarified that only taxable persons are required to have a Tax ID, stressing that students and dependents without income are exempt, while business and corporate bank accounts have required a tax identification number since 2020.
