Federal Government, through the Nigeria Revenue Service (NRS), formerly the Federal Inland Revenue Service (FIRS), has launched a compulsory Tax ID system for all taxable Nigerians and businesses.

The new Tax ID framework will replace the existing TIN Validation API used by MDAs, banks, and other organisations.

Ad >>>

According to the NRS, the new system will improve transparency, reduce duplicate taxpayer records, and make tax registration, filing, and payment easier.

The new tax system is a collaborative effort of the NRS, the Joint Revenue Board (JRB), and is part of ongoing reforms aimed at modernising Nigeria’s tax administration system, improving compliance, and creating a more unified database for taxpayers nationwide.

The announcement was made in a public notice shared on the NRS official X account, Monday.

According to the agency, the new framework is backed by Sections 6, 7, and 8 of the Nigeria Tax Administration Act, 2025, which makes it compulsory for every taxable person in Nigeria to obtain a Tax ID.

The agency explained that the new Tax ID will serve as a unified identity for taxpayers across federal, state, and local tax authorities.

“The Tax ID will serve as a single, unified identity for all taxpayers, enabling seamless interaction with tax authorities at both federal and sub-national levels.

“It is designed to consolidate taxpayer records, eliminate duplication, and ensure more efficient management of tax-related information,” the NRS said in the post.

The agency explained that the new system is expected to simplify several tax processes for individuals and businesses, including registration, filing of tax returns, and payment procedures.

“The initiative will simplify tax compliance processes, including registration, tax filing, and payment procedures,” the agency said.

Commenting on the development, the Executive Chairman of NRS,

Dr. Zacch Adedeji, noted that the platform would improve transparency within the country’s tax system by helping authorities better track taxpayer records and reduce revenue leakages.

“The system will improve transparency by enabling better visibility and tracking of taxpayer records while reducing leakages and improving accountability in tax collection. The framework will also harmonise taxpayer information across all levels of government,” Adedeji said.

As part of the transition process, the newly introduced Tax ID system will replace the existing Tax Identification Number (TIN) Validation API currently being used by Ministries, Departments and Agencies (MDAs), banks, financial institutions, and other organisations for taxpayer verification.

The agency advised organisations that require integration or validation services for individuals, enterprises, and registered business names to contact the Standardisation and Modernisation Department of the JRB for access to the new API and integration guidelines.

Meanwhile, organisations validating corporate entities have been directed to work with the Tax Automation Department of the NRS.