Why Nigerian businesses are rushing to meet tax filing deadline
By Aboki Forex —
Nigerian businesses face two major tax deadlines at the end of June. This has put pressure on finance and accounting teams across the country.
Companies must file their Company Income Tax returns. They also need to comply with the Federal Government's new electronic invoicing regime. Tax experts say this dual requirement could expose businesses to filing errors, delays and penalties if not handled well.
The overlap of both deadlines has created a critical period. This is especially true for large companies still adjusting to Nigeria's digital tax environment.
Chiazor Victor, Head of Research at FSL Securities, warned that businesses rushing their preparations risk costly mistakes. He said companies need to ensure their financial records, invoices and tax computations are consistent. Any mismatch between accounting records and tax submissions could create compliance issues.
Victor noted that organisations must carefully reconcile their records to avoid scrutiny from regulators.
A major issue is the new e-invoicing framework. It becomes mandatory for companies with annual turnover of N5 billion and above by June 30. Businesses must generate and validate invoices through the tax authority's electronic platform. This is a big shift from traditional invoicing methods.
Industry experts say the requirement goes beyond tax reporting. It could affect cash flow and operational efficiency. Only invoices validated through the platform may qualify businesses to claim Value Added Tax input credits.