The Federal Inland Revenue Service (FIRS) has announced plans to implement a digital solution, the FIRS e-Invoice, aimed at improving tax administration and compliance in Nigeria.
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The Executive Chairman of FIRS, Dr. Zacchaeus Adedeji, disclosed this on Wednesday speaking at at the “Emerging Tax Matters” stakeholders’ engagement organized by the Lagos Chamber of Commerce and Industry (LCCI) in collaboration with FIRS.
According to him, this initiative aligns with the Tax Administration and Enforcement Act of 2007 and is part of the FIRS’ ongoing digital transformation strategy.
Represented by Mrs. Oti Olaniyi, Acting Director of the Medium Taxpayers Department, Adedeji noted that the e-Invoice system would facilitate real-time validation and storage of transactions across business-to-business, business-to-consumer, and business-to-government transactions.
An e-invoice, or electronic invoice, is a document that is exchanged between a buyer and a supplier in a structured data format. E-invoices can be processed automatically and electronically, and they remain digital throughout their lifecycle.
The introduction of the e-invoice is seen as a crucial step towards modernizing Nigeria’s tax system, ensuring efficiency, transparency, and better compliance.
Adedeji stated that the evolving tax environment presents both challenges and opportunities and leveraging technology is essential for creating a more sustainable and equitable tax system.
“Our collective efforts will pave the way for a more prosperous and resilient Nigeria. As we move forward, we encourage you to support these initiatives with constructive feedback and collaboration.
“By doing so, we can all build a stronger, more resilient economy that benefits everyone,” he said.
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