As a new business owner in Nigeria, it is crucial to stay abreast of the latest tax reforms introduced by the Federal Inland Revenue Service (FIRS) to minimize your tax burden and maintain compliance. The FIRS is responsible for collecting taxes on behalf of the federal government, including corporate income tax, value-added tax (VAT), and other taxes.
To navigate the latest tax reforms introduced by the FIRS, here are some tips that can help you minimize your business’s tax burden:
- UNDERSTAND THE VERIFICATION OF TAXPAYER IDENTIFICATION NUMBERS (TINS)
One of the recent reforms introduced by the FIRS is the verification of Taxpayer Identification Numbers (TINs). This process ensures that TINs are correctly registered and linked to the right taxpayers, helping to prevent tax evasion and improve tax compliance. It is essential to ensure that your TIN is verified and up-to-date to avoid penalties and fines.
- KNOW YOUR VAT OBLIGATIONS
Another significant change is the increase in the VAT rate from 5% to 7.5%. However, businesses with an annual turnover of less than 25 million naira are exempt from paying VAT. It is crucial to understand your VAT obligations and to ensure that you are compliant with the regulations to avoid penalties and fines.
- ENGAGE A PROFESSIONAL TAX CONSULTING FIRM
Navigating these FIRS tax reforms can be challenging for businesses, but engaging the services of a reputable tax firm can help. A professional firm like Regville Associates provides tax advisory and compliance services to businesses in Nigeria. By engaging their services, businesses can stay up-to-date with the latest FIRS tax reforms and ensure that they remain compliant.
Regville Associates can help businesses verify their TINs, file tax returns, and provide advice on VAT compliance. They can also help businesses identify tax incentives and exemptions they may be eligible for, reducing their tax burden.
In conclusion, staying compliant with the latest FIRS tax reforms is critical for businesses in Nigeria. By understanding the verification of TINs, knowing your VAT obligations, and engaging the services of a reputable tax firm like Regville Associates, you can minimize your business’s tax burden and ensure compliance.
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Tolulope Oguntade Regville Associates firstname.lastname@example.org 08065111667