FIRS: NIN, CAC numbers will become new IDs

The Federal Inland Revenue Service (FIRS) has made it clear that individuals are not required to possess a physical tax identification (ID) card, as the national identification number (NIN) already functions as a tax ID.

In a sensitisation video released on Monday, Aderonke Atoyebi, who serves as the technical assistant on broadcast media to the executive chairman of FIRS (Dr Zacch Adedeji) stated that this clarification was necessary due to the widespread rumours regarding the implementation of the Nigerian Tax Administration Act (NTAA).

This video is part of the agency’s initiative to enhance awareness about the tax reform laws before their implementation in January.

The media aide explained that the use of tax IDs is not a new concept, noting that the requirement has been in place since the Finance Act of 2019 and has been further reinforced under the NTAA.

“The tax ID consolidates all identifiers previously issued by FIRS and state IRS into a single entity. For individuals, your NIN automatically acts as your tax ID, while for registered companies, the CAC RC number is utilised,” Atoyebi remarked.

“You do not require a physical card. Please, let us put an end to the rumours. A physical card is not necessary at all. The tax ID is a unique number that is directly linked to your identity.

“The new tax ID system streamlines identification, minimises duplication, closes loopholes for tax evasion, and ensures equity, so that everyone earning taxable income contributes their fair share, while safeguarding non-taxable, low-income citizens.”

Atoyebi’s remarks follow requests from commercial banks for customers to associate their bank accounts with their NINs or tax identification numbers (TINs) in anticipation of the new tax laws coming into effect.

The banks have stated that all accounts must be linked to a tax ID by 2026 to adhere to the new legal stipulations, emphasising that customers who do not possess a tax ID are required to connect their accounts to a NIN.

In June, President Bola Tinubu enacted four tax reform bills, which include the Nigeria Tax Bill, the Nigeria Tax Administration Bill, the Nigeria Revenue Service (Establishment) Bill, and the Joint Revenue Board (Establishment) Bill.