Wednesday, 30 June 2021, is the deadline for Nigerian companies with financial year end of 31 December 2020 to file their income tax returns.
Such companies are expected to:
1. Prepare their companies’ income tax computations.
2. Prepare audited financial statements (companies making annual gross turnover of N100m or less, may not be required to audit the financial statements – draft accounts may be accepted).
3. Apply for taxpayer update on Federal Inland Revenue Service (FIRS)’ e-filing portal (if not done already) – to allow the company access to e-filing and other FIRS’ e-services.
4. File companies’ income tax returns and the accompanying financial statements via the FIRS’ online TaxPro MAX platform before 30 June 2021.
5. Make tax payment with the ‘Document Identity Number’ (DIN) generated from the TaxPro MAX platform on or before the same deadline date.
For companies making annual gross turnover of N25m or less, they will not be required to pay companies income tax as long as they complete their income tax filing before this deadline (they are required to file income tax returns but exempted from paying the tax).
We (Vi-M Professional Solutions) can assist any Nigerian company get the income tax filing done or assist with navigating the FIRS’ digital platform, but please contact us as soon as possible as the deadline is just few weeks away.
Email clients@vi-m.com, call or chat with us on WhatsApp number +234 810 793 0666 to get started.
*Please also note that following the recently signed Institute of Chartered Accountants of Nigeria (ICAN)/ Association of National Accountants of Nigeria (ANAN) vs Chartered Institute of Taxation of Nigeria (CITN) Memorandum of Understanding, only CITN members with valid Practicing Licences can help clients file tax returns for a fee, with effect from 1 August 2021. On this backdrop, all companies / businesses are advised to please enquire from their tax consultants about their CITN issued practicing licences.
For those who may want to ‘do it themselves’, our ebook on ‘How Companies’ Incomes are Taxed in Nigeria‘, provides the necessary technical guidance.
This ebook can be purchased and downloaded from www.vi-m.com/ebook-store.