16 June 2012
Category:
Taxation
Comments: 17

Tax Clearance – Obtaining Tax Clearance in Nigeria

OBTAIN TAX CLEARANCE IN NIGERIA

Tax Clearance – New Tax Payer

We present the following as steps for obtaining tax clearance certificate for a newly incorporated company with the Federal Inland Revenue.

Engage a Tax Consultant in Nigeria

Step One: Register To Obtain Tax Identification Number

The tax payer must present the following document to the nearest Integrated Tax Office to its head office as in the document furnished with Corporate Affairs Commission of the Situation of Registered Address.
1. A Certificate of Incorporation issued by CAC and bearing an RC Number
2. Necessary documents showing the correct Business address  e.g Form CAC 3, Notice of registered address,
3. He should be able to furnish the office (ITO) with the correct Commencement date.

After all this is completed, a Tax Identification Number (TIN) will be issued to the taxpayer.

Step Two: Apply To Register For VAT
  1. Complete Application for VAT Registration Form(Form 001)
  2. Certificate of Incorporation, Memorandum of Association, CTC of Form CAC2 & CAC 7
Step Three: Apply To Tax Clearance Certificate
  1. Application for Tax Clearance form(In Triplicate)
  2. Taxpayer registration input form (TRIF/2006/001 COYS);
  3. Completed FIRS questionnaire for new tax payers on the Company’s Letter Head addressed to the Tax Controller
  4. Copy of memorandum and articles of association
  5. Copy of the certificate of incorporation
  6. Letter of appointment of tax adviser and a letter of acceptance

The application forms must be in triplicate and the original certificate of incorporation must be presented for ‘sighting’ by the controller. Upon receipt of the completed taxpayer registration input form and all documents, a tax reference number is allocated. An application must be filed for the tax clearance certificate. Its issuance is not automatic.

The fees for the tax clearance issuance are as follows: for newly registered companies within 6 months of incorporation, tax clearance certificate: no fee; for companies that are yet to commence business and show up for registration after 6 months of incorporation, if they request for tax clearance certificate a pre-operation levy of NGN 25,000 is payable for the first time and NGN 20,000 is payable for subsequent years until it files a notice of commencement of business.

Completion of the various forms require some knowledge which the ordinary personal may not understand, because the tax authorities may rely on them and demand for additional tax payment you may not have bargained for. Tax Experts may be able to help.

To obtain your tax clearance in Nigeria, you may need the service of a Tax Consultant who take away the stress and get it done for you with the steed of light.

 

About the AuthorMatthew Ogagavworia-Portrait

Post by: Matthew OGAGAVWORIA, FCA, CFAN

Matthew Ogagavworia is the founder of Matog Consulting, a specialist management consulting firm in Nigeria.  With over 19 years of experience in that cuts across professional service, banking, oil & gas, capital markets, serving small businesses. His specialties include, recruitment, forensic accounting, SME advisory, accounting advisory, risk management, audit, tax, debt recovery, business plan writing, company secretarial services and training.

 

Company: Matog Consulting

Website: www.matogconsulting.com

Connect with me on Facebook, Twitter, LinkedIn, and Google+.

CALL: 08023200801, 08075765799

17 responses on “Tax Clearance – Obtaining Tax Clearance in Nigeria

  1. matthew ogagavworia says:

    Great write up

  2. cash4wealth says:

    Your post on this tax clearance is very educative andhelpful thanks fortaking out the time.

  3. pls can you send me my TIN number my company name is home Plus consult Ltd. RC-494745
    thanks
    clifford ohikere

  4. Fakunle 'Yemi says:

    The fees for the tax clearance issuance are as follows: for newly registered companies within 6 months of incorporation, tax clearance certificate: no fee; What exactly do u mean by ‘ within 6 months of incorporation’ thanks

  5. adesco says:

    how much for company tax clearance( an enterprise)

  6. Harley Berry says:

    This was quite helpful.

  7. Ms_O says:

    Hello, i want to apply for a TIN and apparently i’m meant to write a letter to the tax controller. wld it be possible to get a draft of the letter. How it should be addressed and co
    Thanks

  8. emmanuel says:

    Please we are newly registered company july 2015,we are yet to commence operation, please provide us with the fee your firm charge for company tax registration. and also for filling annual returns

  9. Tom says:

    My company was incorporated in December 2011. I want to obtain my tax clearance certificate, Pls how much will my tax clearance fee be?

  10. daye says:

    hi i would like to get a tax identification number and know the relevant paperwork i will need for you to help me process it and how much will it cost and how long will it take.

    • matog says:

      The relevant document for Tax Identification Number are the company’s document viz:
      Limited Liability Company- Certificate of Incorporation,Articles & Memorandum of Association, CTC of Form CO2 & CO7, Utility bill confirming location of the company. Completion of Questionnaire for New Tax Payers and New Tax Payers Data Input Form, A formal application.
      The process should not ordinarily take more than two days. But in practice it can take 7days, depending on availability of internet connection and the work ethics of the location where the application was made.

      TIN is normally free to obtain. We will send you our fees on a different mail should you decide to engage us for the service.

  11. Damola says:

    Please furnish me with the cost implication to obtain a tax clearance for a newly registered company.

  12. okey says:

    Is registration for VAT a must

  13. isah muazu says:

    I am planning to open a PMV and am asked to obtain a 3years tax clearance

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