Federal Inland Revenue Service (Establishment) Act 2007

If you do not file returns or FIRS is not satisfied with your return, they can assess your tax based on their best judgment. Assessments include interest and penalties and must be served to you.

You can self-assess your tax by completing the proper form, calculating the tax due, and submitting with proof of payment. Self-assessments are generally accepted as filed.

You have 30 days from receiving an assessment to request a review. State your grounds clearly. FIRS can confirm, amend, or cancel the assessment after considering your arguments.

If dissatisfied with FIRS's review decision, you can appeal to the Tax Appeal Tribunal within 30 days. The Tribunal is an independent body that hears tax disputes.

You must pay assessed tax within the time stated in the notice. Unpaid tax becomes a debt to the government and FIRS can recover it through courts or other legal means.

If you do not pay, FIRS can seize and sell your property to recover the tax owed. This requires a warrant and follows prescribed procedures.

Interest accrues on unpaid tax from the due date until you pay. The interest rate is set by the Minister. Paying late costs you more.

Failing to pay tax on time is an offence. The penalty is 10% of the unpaid tax amount, added to what you already owe. The penalty is collected the same way as the tax.

You must keep proper financial records for at least 6 years. Failure to do so is punishable by ₦50,000 fine plus ₦10,000 per day the violation continues.

Making false tax returns or submitting fraudulent documents is a serious criminal offence. Punishment is up to 3 years imprisonment or ₦500,000 fine or both.

Tax evasion is punishable by up to 5 years imprisonment or ₦1,000,000 fine or both. This includes false returns, false entries, omitting records, giving false information, or helping others evade tax.

Everyone liable to tax must register for a TIN. You need it for tax filings, correspondence with FIRS, and opening bank accounts. Failure to register is an offence.

A Tax Clearance Certificate (TCC) proves you have no outstanding taxes. You need it for government contracts, import/export licenses, vehicle registration, and building approvals.