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The Digest:

The Federal Inland Revenue Service has announced that the National Identification Number will now automatically serve as the Tax ID for every Nigerian. This alignment, set under the new Nigeria Tax Administration Act, aims to simplify compliance, broaden the tax net, and reduce evasion by linking fiscal responsibility directly to a citizen's unique identity.

Key Points:
  • The FIRS has declared that the National Identification Number (NIN) is now the automatic Tax ID for individuals.
  • For registered businesses, the Corporate Affairs Commission RC number will serve as their Tax ID.
  • The mandate is part of the Nigeria Tax Administration Act, taking effect in January 2026.
  • The FIRS clarified that the requirement is not new but has been strengthened by the Finance Act 2019.
  • The system aims to unify various tax identification numbers, reduce duplication, and curb evasion.
  • Over 123.9 million Nigerians with NIN are automatically brought into the tax framework.
  • Tax reform chairman Taiwo Oyedele earlier clarified that only taxable individuals, not all bank holders, require a Tax ID.
This policy merges the ledger of identity with the ledger of obligation, transforming the NIN from a single record into multiple responsibilities, where being known to the state also means being accountable to its treasury.

Sources: FIRS, Nairametrics