FIRS warns taxpayers: don’t hide transactions under E-Invoicing

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The Federal Inland Revenue Service (FIRS) has issued a stern warning to taxpayers against attempting to hide transactions following the launch of Nigeria’s National E-Invoicing Solution (Merchant-Buyer Model). The new digital invoicing platform, designed to streamline and modernize tax administration, now allows for real-time monitoring of transactions between suppliers and buyers.

Speaking at a two-day post-launch workshop in Lagos for large taxpayers, Mike Adoga, Acting Director of Tax Automation at FIRS, emphasized the importance of full compliance.

He explained that the system provides a unique reference number for every invoice, ensuring transparency and enabling the FIRS to monitor transactions efficiently.

“Taxpayers tempted to omit invoices on this platform should reconsider, as all payment gateways have been mandated to report every payment passing through them to FIRS,” Adoga stated.

“This initiative ensures that tax administration is seamless, transparent, and fully accountable.”

The National E-Invoicing Solution replaces traditional paper or electronic documents, such as invoices, credit notes, and debit notes.

Each eInvoice captures comprehensive transaction details, including supplier and buyer information, product descriptions, quantities, prices, applicable taxes, and total amounts.

This approach not only facilitates compliance but also strengthens the integrity of the tax system by minimizing underreporting.

Mr. Emmanuel Eze, representing the Chief of Staff to the FIRS Executive Chairman, highlighted that the workshop aimed to provide practical guidance on taxpayer enablement, system integration, and invoice transmission.

He also announced a three-month extension of the onboarding and transmission deadline to November 1, 2025.

“The extension is not a window for delay; it is an opportunity for taxpayers to complete integration tests and ensure system readiness,” Eze said.

“FIRS remains committed to supporting stakeholders through technical assistance, sector-specific engagement, and collaboration with designated service providers.”

To support smooth implementation, FIRS has appointed 16 technology companies as service providers for taxpayer onboarding.

These include Pasca Technology Limited, Hoptool Technology Limited, Etranzact International Plc, Telepac Africa Nigeria Limited, Cryptware System Limited, Namiri Technology Nigeria Limited, Ace of Spades Consult Nigeria Limited, Jureb Business Solutions Limited, Qucoon Limited, Courteville Business Solutions, Softrust Technologies Limited, Westmetro Limited, Arca Payments Company Limited, Elara Technical Services Ltd, Interswitch Limited, and Remita Payment Limited.

Project Manager for e-Invoicing, Mohammed Bawa, stressed that FIRS is decentralizing its customer support services to enhance taxpayer experience.

“We are expanding our support channels and equipping every tax office with the relevant knowledge to provide timely assistance to stakeholders,” he said.

The FIRS initiative aligns with global best practices in digital taxation, promoting compliance, transparency, and efficiency.

Experts believe that the e-invoicing platform will also reduce the incidence of tax evasion, boost government revenue, and enhance trust between taxpayers and the regulatory authority.

“The success of this system relies on cooperation between FIRS, taxpayers, consultants, and technology partners,” Eze added.

“It is a collective responsibility to ensure that every transaction is properly documented and reported.”

As Nigeria moves toward a fully digitized tax ecosystem, stakeholders are encouraged to embrace the e-invoicing platform proactively.

Failure to comply could attract scrutiny, penalties, and other regulatory actions by FIRS, reinforcing the agency’s commitment to a transparent, accountable, and modern tax environment.

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