The VATrac (An Automated VAT Filing and Collection Platform) by the FIRS

Earlier in the year, the Federal Inland Revenue Service (FIRS) issued a Public Notice to announce the coming into effect of the VATrac- An Automated VAT Filing and Collection platform which would be compulsorily used in the wholesale/ retail sector and for direct audit/ reconciliation of of VAT transactions.

Affected businesses include branded shops, super stores, general supermarkets, standard restaurants; and eateries. These businesses are required to include in their transaction/ sales receipts the following:

  • FIRS or JTB TIN;
  • Print date;
  • Goods/ product description;
  • Receipt Number;
  • Grand total;
  • Standard 7.5% VAT rate

VATrac was expected to have taken effect from 1 April 2020 and affected businesses have been asked to contact the nearest FIRS tax office for onboarding on VATrac. Further directives on the practical implementation/ use of the VATrac are however still being awaited from the FIRS .

Businesses that would be affected by this new platform, namely, branded shops, super stores, general supermarkets, standard restaurants; and eateries are advised to prepare themselves for using an automated VAT system by staying abreast of retail related accounting software and automating their selling processes with a dependable Point of Sale (POS) software.

Further, the VATrac by FIRS may also be a cloud based platform, necessitating the use of stable internet enabled devices for retail sales.

For help with installing a retail/ restaurant/ eatery Point of Sale or accounting software, please contact us via