{"id":295702,"date":"2023-08-09T17:14:06","date_gmt":"2023-08-09T16:14:06","guid":{"rendered":"https:\/\/nigerianfinder.com\/?p=295702"},"modified":"2023-08-09T17:14:06","modified_gmt":"2023-08-09T16:14:06","slug":"how-to-calculate-annual-tax-returns-in-nigeria","status":"publish","type":"post","link":"https:\/\/nigerianfinder.com\/how-to-calculate-annual-tax-returns-in-nigeria\/","title":{"rendered":"How to Calculate Annual Tax Returns in Nigeria\u00a0"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">As a taxpayer in Nigeria, there are certain obligations you must fulfil as required under specified tax law. Although there&#8217;s the option of engaging the services of an agent (consultant) to do the brunt work, taxpayers need to know how to correctly compute their tax liabilities, properly complete their tax returns, pay the tax, and submit the tax returns since they have the best information about their activities. In this article, our focus will be on how to calculate annual tax returns in Nigeria. In addition, we&#8217;ll discuss the obligations required of a taxpayer that chooses to handle his tax affairs by himself.\u00a0<\/span><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-full wp-image-295704\" src=\"https:\/\/nigerianfinder.com\/wp-content\/uploads\/2023\/08\/How-to-Calculate-Annual-Tax-Returns-in-Nigeria-.jpg\" alt=\"How to Calculate Annual Tax Returns in Nigeria\u00a0\" width=\"602\" height=\"403\" srcset=\"https:\/\/nigerianfinder.com\/wp-content\/uploads\/2023\/08\/How-to-Calculate-Annual-Tax-Returns-in-Nigeria-.jpg 602w, https:\/\/nigerianfinder.com\/wp-content\/uploads\/2023\/08\/How-to-Calculate-Annual-Tax-Returns-in-Nigeria--598x400.jpg 598w, https:\/\/nigerianfinder.com\/wp-content\/uploads\/2023\/08\/How-to-Calculate-Annual-Tax-Returns-in-Nigeria--300x200.jpg 300w\" sizes=\"(max-width: 602px) 100vw, 602px\" \/><\/p>\n<p><span style=\"font-weight: 400;\">How to calculate the annual tax returns in Nigeria would be discussed below:\u00a0<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\">\n<h2><span style=\"font-weight: 400;\">What are the Obligations Required of a Taxpayer in Nigeria under the Self-Assessment Regime\u00a0<\/span><\/h2>\n<\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">If you typed in the title of this article into the search bar of a search engine like Google, chances are that you plan on computing your tax liability, completing the tax return, paying the tax, and submitting the tax return by yourself. Going the route of self-assessment is encouraged, even by the tax authority in Nigeria, because taxpayers are in the best position to assess their tax liabilities.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">If you&#8217;ve made up your mind to handle your tax obligations yourself, this section of the article will shed light on the obligations required under the self-assessment regime. We want you to get everything right from the get-go. Read on to learn.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The first obligation required of a taxpayer in Nigeria is to register as a taxpayer. You&#8217;re to obtain an application form for registration from the FIRS tax office in charge of your business area of operation. Then, properly fill out the form, and submit the completed form along with all required identification means to the relevant tax office of the FIRS. Upon submission, you&#8217;d get a Taxpayer Identification Number (TIN). The registration process costs you nothing &#8211; it&#8217;s free.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Maintenance of business records is another obligation you are required to fulfil as a taxpayer in Nigeria as doing so helps to facilitate voluntary compliance and submission of correct tax returns. Keeping proper business records ensures that you have a fair view of your business at all times. The transactions to record include:\u00a0<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Sales and purchases of goods and services for profit\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Purchase\/acquisition and sales of fixed assets<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Expenditures on day-to-day running and expansion of business<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Additional capital into the business\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Personal drawings (cash and goods in-kind from business for private use)<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Loans to and from the business\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Books of Accounts, which are part of documents to accompany tax returns\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Bank Statements\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">File of invoices and receipts\u00a0<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Voluntary disclosure of transactions for a given period under the relevant tax law is another obligation required of every taxpayer in Nigeria. You&#8217;re to make a correct declaration of all relevant information as required in the tax return form, compute capital allowance, and compute the tax liability by applying the correct rate(s) of the tax.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">As a taxpayer in Nigeria, you&#8217;re also obligated to complete and sign tax returns. If you are an employee or running a one-man business, the tax return form must be signed by you (the taxpayer). In the case where tax returns are filed by companies, the Chairman\/Managing Director of the company and the company secretary are expected to sign the tax return form.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Paying the relevant taxes to the Federal Inland Revenue Service is yet another obligation expected of every taxpayer in Nigeria. Tax in Nigeria is being paid to FIRs through collecting banks by completing the deposit slip available at the banks, accompanying the deposit slip with the amount of money to be paid and presenting it to the bank to get evidence of payment in the form of an e-ticket. You&#8217;d need to confirm from the e-ticket that the tax was paid into the appropriate tax account (eg. VAT, CIT, PPT, etc).\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Filing of tax returns to FIRS as prescribed by relevant tax laws is legally required of every taxpayer in Nigeria. It involves collecting and filling up the relevant tax form from the tax office of FIRS. This completed form should be submitted to the FIRS alongside audited accounts, tax computation, capital allowance computation, schedule of fixed assets, evidence of tax payment, and any other relevant document as required by the tax authority on or before the due date.\u00a0\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Last but not least, as a taxpayer in Nigeria, you&#8217;re obligated to cooperate with identified FIRS officers assigned to perform tax audit duties, providing them with all relevant books of records or documents as required by the tax auditors. Tax audit exercises happen regularly to complement and support taxpayers that engage in self-assessment.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Compliance with all the above-discussed obligations is compulsory because failure to comply makes the taxpayer liable to various sanctions. Some offenses to avoid as a taxpayer in Nigeria includes:\u00a0<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Failure to register for tax purposes\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Failure to keep proper business records<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Failure to file tax returns and pay tax on or before the due date\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Understatement of tax return\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Failure to produce such records or information required by the tax authority\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\">\n<h2><span style=\"font-weight: 400;\">How to Calculate Annual Tax Returns in Nigeria\u00a0<\/span><\/h2>\n<\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">As earlier explained in the section above, filing tax returns is an obligation of every taxpayer in Nigeria. In this section of the article, we&#8217;ll discuss how to calculate annual tax returns for each type of tax in Nigeria.\u00a0<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\">\n<h2><span style=\"font-weight: 400;\">How to Calculate Annual Companies Income Tax Returns\u00a0<\/span><\/h2>\n<\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">The Companies Income Tax Act mandates every company in Nigeria to file returns with the Federal Inland Revenue Service (FIRS), even if the company is exempted from the law from paying tax. Here, we&#8217;d be discussing how to calculate annual returns for Companies Income Tax. In addition, the computation of capital would be explained.\u00a0\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">CIT is imposed on the profit of a company from all sources at the rate of 30%. There are some profits exempted from CIT, however, they must not be derived from trade or business activities carried out by the company. Additionally, Education Tax is imposed on all companies in Nigeria at the rate of 2% of assessable profit.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">If at the end of the accounting year a company makes a loss, has no tax payable, or the tax payable is less than the minimum tax payable, the CITA provides for the minimum tax to be paid.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Minimum tax is charged at the rate of 0.5% of a company&#8217;s annual gross turnover less franked investment income. For insurance companies, minimum tax is charged at the rate of 0.5% of gross premium and other income for non-insurance businesses, and 0.5% of gross income for life insurance businesses.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Aside from tax computations which we&#8217;ve just discussed above, filing annual CIT returns also involves capital allowances computation. Capital allowance is a tax relief within the ambit of the Companies Income Tax Act granted relief within the ambit of the Companies Income Tax Act which is granted on tangible non-current in generating taxable profits, in place of accounting depreciation. However, capital allowance does not apply to assets exclusively used to generate tax-exempt profits for companies in Nigeria. And when qualifying assets are partially utilised for generating profits, the capital allowance will be prorated.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">There are three types of <\/span><span style=\"font-weight: 400;\">capital allowances allowed by the Companies Income Tax Act. These include initial allowance, annual allowance, and investment allowance. Initial allowance is granted to a taxpayer once in the first year of purchase and when an asset is used for the company&#8217;s business. An annual allowance, on the other hand, is granted to a taxpayer every year that an asset is in use by the taxpayer until the asset is fully written off. Schedule II of the Companies Income Tax Act contains rates for calculating initial allowance and an annual allowance of qualifying expenditure.\u00a0\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Investment allowance, the third type of capital allowance, is granted at the rate of 10% to companies that incur expenditure on plant and equipment.\u00a0\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Below is the table containing the rates of initial allowance and annual allowance for qualifying fixed assets:<\/span><\/p>\n<table>\n<tbody>\n<tr>\n<td><span style=\"font-weight: 400;\">Qualifying Expenditure\u00a0<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Initial Allowance (%)<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Annual Allowance (%)<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Building ( industrial &amp; non-industrial)\u00a0<\/span><\/td>\n<td><span style=\"font-weight: 400;\">15<\/span><\/td>\n<td><span style=\"font-weight: 400;\">10<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Mining\u00a0<\/span><\/td>\n<td><span style=\"font-weight: 400;\">95<\/span><\/td>\n<td><span style=\"font-weight: 400;\">NIL<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Plant and machinery for Agricultural production\u00a0<\/span><\/td>\n<td><span style=\"font-weight: 400;\">95<\/span><\/td>\n<td><span style=\"font-weight: 400;\">NIL<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Plant and machinery for other purposes aside from agricultural production\u00a0<\/span><\/td>\n<td><span style=\"font-weight: 400;\">50<\/span><\/td>\n<td><span style=\"font-weight: 400;\">25<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Furniture &amp; fittings\u00a0<\/span><\/td>\n<td><span style=\"font-weight: 400;\">25<\/span><\/td>\n<td><span style=\"font-weight: 400;\">20<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Motor vehicle for public transportation\u00a0<\/span><\/td>\n<td><span style=\"font-weight: 400;\">95<\/span><\/td>\n<td><span style=\"font-weight: 400;\">NIL<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Motor vehicle for other purposes aside from public transportation<\/span><\/td>\n<td><span style=\"font-weight: 400;\">50<\/span><\/td>\n<td><span style=\"font-weight: 400;\">25<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Plantation equipment\u00a0<\/span><\/td>\n<td><span style=\"font-weight: 400;\">95<\/span><\/td>\n<td><span style=\"font-weight: 400;\">NIL<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Housing estate<\/span><\/td>\n<td><span style=\"font-weight: 400;\">50<\/span><\/td>\n<td><span style=\"font-weight: 400;\">25<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Ranching and plantation\u00a0<\/span><\/td>\n<td><span style=\"font-weight: 400;\">30<\/span><\/td>\n<td><span style=\"font-weight: 400;\">50<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Research &amp; Development\u00a0<\/span><\/td>\n<td><span style=\"font-weight: 400;\">95<\/span><\/td>\n<td><span style=\"font-weight: 400;\">NIL<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><span style=\"font-weight: 400;\">Below are the formulae for determining initial allowance, annual allowance, and investment allowance when\u00a0 calculating capital allowance in taxation in Nigeria:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Initial allowance (IA) =\u00a0 <\/span>Initial allowance rate \u00d7 cost of the asset<\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Annual allowance (AA) =\u00a0 Annual allowance rate \u00d7 (Cost of the asset minus initial allowance)<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Investment allowance = 10% \u00d7 cost of the asset<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">The Companies Income Tax Act provides that the maximum capital allowance that a taxpayer can claim is two-thirds of assessable profits, however, this rule doesn&#8217;t apply to agro\u2010allied and manufacturing industries in Nigeria. So companies in the agro-allied and manufacturing industries can claim their entire capital allowance.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Here&#8217;s an illustration of how to compute capital allowance:<\/span><\/p>\n<p><span style=\"font-weight: 400;\">In January 2022, Prudent &amp; Sons purchased plant and machinery for NGN15,000,000. The accounting year ends in December 2022. Calculate the capital allowance.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Solution:<\/span><span style=\"font-weight: 400;\">\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">According to the Companies Income Tax Act, the capital allowance rate for addition to plant and machinery are as follows:\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">10% &#8211; investment allowance\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">50% &#8211; initial allowance\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">25% &#8211; annual allowance\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Investment allowance = NGN15,000,000 \u00d7 10% = NGN1,500,000<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Initial allowance = NGN15,000,000 \u00d7 50% = NGN7,500,000<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Annual allowance = NGN(15,000,000 &#8211; 7,500,000) \u00d7 25% = NGN1,875,000<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Total capital allowance = NGN (1,500,000 + 7,500,000 + 1,875,000) = NGN10,875,000<\/span><\/p>\n<p><span style=\"font-weight: 400;\">These are the contents of the Companies Income Tax returns below:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Duly completed Self-Assessment form\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Audited Financial Statement comprising: (a) Balance Sheet (b) Profit and Loss Account \u00a9 Statement of changes in equity (d) Statement of cash flows (e) Notes on significant Accounting Policies and other explanatory information (f) Comparative figures of accounting year on the Generally Accepted Accounting Principles (GAAP) basis to be included in the returns<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Tax computations<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Capital allowances computation\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Schedule of Fixed Assets\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Evidence of payment of the taxes due\u00a0<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">N\/B: The Audited Financial Statement would have to be signed by two Directors. Also, external auditors who are members of a recognised professional body should audit and sign the accounts<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\">\n<h2><span style=\"font-weight: 400;\">How to Calculate Annual Personal Income Tax Returns\u00a0<\/span><\/h2>\n<\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Annual tax returns for Personal Income Tax in Nigeria are to be filed by self-employed individuals, individuals in employment, and employers according to Personal Income Act LFN 2004 (as amended). The rate of PIT imposed on the income of individuals, corporate sole or body of individuals, families and trustees or executors of any settlement ranges from 7% to 24%, depending on the amount of chargeable income.\u00a0\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The PITA also grants taxpayers a Consolidated Relief Allowance of N200,000 or gross income whichever is higher, plus 20% of gross income. There are certain tax-exempt items that are not subject to Pay-As-You-Earn(PAYE). Also, whenever a taxpayer fails to earn a gross income of less than N300,000 per annum, such an individual will not be subject to the Pay-As-You-Earn (PAYE) system of computing PIT, instead a minimum tax of 1% of gross income.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Here&#8217;s a table showing the PAYE rates across income bands:<\/span><\/p>\n<table>\n<tbody>\n<tr>\n<td><span style=\"font-weight: 400;\">Yearly Taxable Income (Gross income &#8211; allowable deductions)<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Tax Rate\u00a0<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Total Amount Payable Per Year\u00a0<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">First N300,000<\/span><\/td>\n<td><span style=\"font-weight: 400;\">7%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">N21,000<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Next N300,000<\/span><\/td>\n<td><span style=\"font-weight: 400;\">11%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">N33,000<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Next N500,000<\/span><\/td>\n<td><span style=\"font-weight: 400;\">15%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">N75,000<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Next N500,000<\/span><\/td>\n<td><span style=\"font-weight: 400;\">19%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">N95,000<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Next N1.6 million<\/span><\/td>\n<td><span style=\"font-weight: 400;\">21%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">N336,000<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Over N3.2 million<\/span><\/td>\n<td><span style=\"font-weight: 400;\">24%\u00a0<\/span><\/td>\n<td><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><span style=\"font-weight: 400;\">With the modalities for calculating annual PIT returns being established, let&#8217;s use an illustration of how it is calculated. But first, we will provide a list of tax-exempt items within the ambit of the Personal Income Tax Act.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Below are the deductions allowed to be deducted from the gross emoluments of a taxpayer (employee) under the Personal Income Tax Act:\u00a0<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">NHF contribution<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">National Health Insurance Scheme<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Life Assurance Premium<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Pension Scheme and Gratuities<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Reimbursements\u00a0\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Interest and dividend\u00a0\u00a0\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Disability Allowance<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Allowable business deductions include:\u00a0<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Interest on money borrowed for business purposes.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Rent and premium payable on land or buildings occupied for the purpose of acquiring the income.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Repairs and maintenance expenses for premises, plant, or machinery used in generating income.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Bad debts.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Subscriptions, provided they relate to the business or profession.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Illustration on how annual tax returns for Personal Income Tax is calculated: Mr John Bull earned N4,000,000 as gross emolument for 2022. How would he calculate his tax returns for Personal Income Tax assuming he&#8217;s entitled to a few allowable deductions that include National Housing Fund, National Health Insurance Scheme, and Pension?<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">Solution<\/span><span style=\"font-weight: 400;\">\u00a0<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">First, let&#8217;s ascertain the value of the tax-exempt items Mr John Bull is entitled to. They are as follows:<\/span><\/p>\n<p><span style=\"font-weight: 400;\">NHF contribution = 2.5% of N4,000,000 = N100,000<\/span><\/p>\n<p><span style=\"font-weight: 400;\">NHIS contribution = 5% of N4,000,000 = N200,000<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Pension contribution = 8% of N4,000,000 = N320,000<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Total of tax-exempt contributions = N(100,000 + 200,000 + 320,000) = N620,000.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Now, let&#8217;s calculate what his Consolidated Relief Allowance would be:\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Consolidated Relief allowance =Higher of N200,000 and 1% of gross income (GI1), plus 20% of gross income*(GI2)<\/span><\/p>\n<p><span style=\"font-weight: 400;\">N\/B: Gross income (GI) refers to gross emoluments, while &#8221; gross income* (GI2) means income from all sources less all non-taxable income, income on which no further tax is payable.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Annual Gross income (G1) = N4,000,00<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Annual Gross income* (G2) = N4,000,000 &#8211; (Tax-exempt items contributions, i.e.NHIS+NHF+Pension)<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Therefore, Gross income* (GI2) = N4,000,000 &#8211; N620,000 = N3,380,000<\/span><\/p>\n<p><span style=\"font-weight: 400;\">CRA = N200,000 + 20% of N3,380,000 (we chose N200,000 because it is higher than N40,000 which is 1% of N4,000,000)<\/span><\/p>\n<p><span style=\"font-weight: 400;\">= N200,000 + N676,000<\/span><\/p>\n<p><span style=\"font-weight: 400;\">= N876,000<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The taxable income to which PAYE would be subject is the difference between the gross emolument of Mr John Bull and the value of the CRA.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Taxable Income = N(4,000,00 0 &#8211; 876,000)\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">= N3,124,000<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Now, let&#8217;s calculate what the PIT liability of Mr. John Bull was for 2022:<\/span><\/p>\n<p><span style=\"font-weight: 400;\">1st N300,000@7% = N21,000 (remaining N2,824,000)<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Next N300,000@11%= N33,000 (remaining N2,524,000)<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Next N500,000@15%= N75,000 (remaining N2,024,000)<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Next N500,000@19%= N95,000 (remaining N1,524,000)<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Next N1,600,000@21%= N1,524,000 \u00d7 21%<\/span><\/p>\n<p><span style=\"font-weight: 400;\">= N320,040\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The total PAYE tax payable per annum= N21,000 + N33,000 + N75,000 + N95,000 + N320,040 = N544,040 P.A.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The above is what the tax computation for Mr. John Bull&#8217;s annual PIT returns should look like.\u00a0<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\">\n<h2><span style=\"font-weight: 400;\">How to Calculate Annual Petroleum Profit Returns\u00a0<\/span><\/h2>\n<\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">The Petroleum Profit Tax imposes Petroleum Profits Tax on the income of companies in petroleum operations (upstream). Below are the rates of PPT:\u00a0<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">65.75% of chargeable profit for Joint Venture and Sole Risk Companies in their first five years of operations<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">85% of chargeable profit for Joint Venture and Sole Risk Companies in operation for more than five years\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">50% of chargeable profit for a company under Protection Sharing Contract\u00a0<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Petroleum Profit Tax annual returns also require the computation of capital allowances. The calculation for capital allowances was handled in the &#8220;How to Calculate Annual Companies Income Tax Returns&#8221; section. Revisit that section to get how the calculation for capital allowance is done.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Additionally, Education Tax is imposed on all companies in Nigeria at the rate of 2% of assessable profit. So this should be taken into account\u00a0<\/span><span style=\"font-weight: 400;\">when filing annual returns for Petroleum Profit Tax.\u00a0<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\">\n<h2><span style=\"font-weight: 400;\">How to Calculate Annual Returns for Value-Added Tax (VAT)\u00a0<\/span><\/h2>\n<\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">The recent amendments to the Value Added Tax Act increase the rate for VAT from 5% to 7.5% and also put N25 million annual turnover as the threshold to qualify as a VATable person. The tax VATable persons receive when their customers purchase their goods or use their services is referred to as Output VAT. And when a VATable person pays VAT for purchasing or importing goods for resale to customers, or on raw materials to be used for production, such tax is known as Input VAT.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Every month, VATable persons are expected to file VAT returns with FIRS. When the Output VAT realised in a month exceeds the Input VAT, the difference is to be paid to the FIRS. But in the month when the Input VAT exceeds Output VAT, the taxpayer can claim a refund for that month.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Therefore, the calculation for annual returns for Value Added Tax put into account the calculation of the monthly VAT returns for the twelve (12) months that make an accounting year.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Below are the contents of the VAT returns expected to be contained in a duly completed VAT form 002:\u00a0<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The total value of supplies made during the period\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Disclosure of the value of output tax charged on its invoices\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The total value of purchases on which input tax was paid<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Schedules of both input and output tax attached to the VAT returns, together with any adjustment made during the period, for bad debts, credit notes, etc.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Net VAT due, i.e. the excess of Output VAT over Input VAT, with evidence of the payment of VAT\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">A signed declaration of completeness and correctness of the returns\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\">\n<h2><span style=\"font-weight: 400;\">How to Calculate Annual Returns for National Technology Development Levy (NITDL)<\/span><\/h2>\n<\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">The National Information Technology Development Agency Act of 2007 imposes a levy of 1% of the profit before tax of companies and enterprises with an annual turnover of N100 million and above operating in the business areas listed below:\u00a0<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">GSM Service providers and telecommunication Companies<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Cyber companies and Internet Providers<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Pensions managers and pension-related companies<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Banks and other financial Institutions<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Insurance companies.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">The computation of the tax payable for the National Technology Development Levy is simply multiplying the profit before tax of the annual turnover of the companies in the above-listed industries by 1%.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The contents of National Technology Development Levy returns should include:\u00a0<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Computation of tax payable\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Evidence of payment of tax due<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\">\n<h2><span style=\"font-weight: 400;\">How to Calculate Annual Returns of Capital Gains Tax (CGT)<\/span><\/h2>\n<\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Capital Gains Tax (CGT) arises when a chargeable asset is disposed of for a gain. This tax is charged at the rate of 10% of the cost of disposing of the chargeable asset. Filing annual CGT returns is done along with the various tax returns for individuals and companies.\u00a0\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The contents of CGT returns include:\u00a0<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Duly completed self-assessment forms\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Computation of Capital Gains Tax payable<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Schedule of Assets including proof of sale\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Evidence of asset and asset management\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Evidence of payment of the CGT<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Other relevant information<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\">\n<h2><span style=\"font-weight: 400;\">How to Calculate Annual Returns for Education Tax (EDT)\u00a0<\/span><\/h2>\n<\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Tertiary Education Tax (EDT) is imposed on the assessable profits of all companies in Nigeria at the rate of 2%. Filing of EDT returns is rendered along with the annual returns of Companies Income Tax or Petroleum Profit Tax as the case may be.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The contents of EDT returns include:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Computation of education tax payable<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Duly completed Self-Assessment form attested to by a Director or Secretary of the company<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Evidence of payment of the education tax due\u00a0\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\">\n<h2><span style=\"font-weight: 400;\">How to Calculate Annual Returns for Withholding Tax (WHT)<\/span><\/h2>\n<\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">WHT arises when there is a need to collect Income Tax in advance for certain pacts such as the hiring of equipment, royalties, and management fees. This tax rate of WHT varies depending on the type of transaction. Below is a table showing the WHT rates for individuals and companies\u00a0 on various transactions:\u00a0<\/span><\/p>\n<table>\n<tbody>\n<tr>\n<td><span style=\"font-weight: 400;\">Types of payment\u00a0<\/span><\/td>\n<td><span style=\"font-weight: 400;\">WHT for companies (%)<\/span><\/td>\n<td><span style=\"font-weight: 400;\">WHT for individuals (%)<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Dividends, interest, and rents\u00a0<\/span><\/td>\n<td><span style=\"font-weight: 400;\">10<\/span><\/td>\n<td><span style=\"font-weight: 400;\">10<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Director fees\u00a0<\/span><\/td>\n<td><span style=\"font-weight: 400;\">N\/A<\/span><\/td>\n<td><span style=\"font-weight: 400;\">10<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Hire of equipment<\/span><\/td>\n<td><span style=\"font-weight: 400;\">10<\/span><\/td>\n<td><span style=\"font-weight: 400;\">10<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Commission, consultancy, technical, and service fees\u00a0<\/span><\/td>\n<td><span style=\"font-weight: 400;\">10<\/span><\/td>\n<td><span style=\"font-weight: 400;\">5<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Management fees\u00a0<\/span><\/td>\n<td><span style=\"font-weight: 400;\">10<\/span><\/td>\n<td><span style=\"font-weight: 400;\">5<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Construction (roads, buildings, and bridges)\u00a0<\/span><\/td>\n<td><span style=\"font-weight: 400;\">2.5<\/span><\/td>\n<td><span style=\"font-weight: 400;\">5<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Contracts other than sales in the ordinary course of business<\/span><\/td>\n<td><span style=\"font-weight: 400;\">5<\/span><\/td>\n<td><span style=\"font-weight: 400;\">5<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Royalties\u00a0<\/span><\/td>\n<td><span style=\"font-weight: 400;\">10<\/span><\/td>\n<td><span style=\"font-weight: 400;\">5<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><span style=\"font-weight: 400;\">\u00a0<\/span><span style=\"font-weight: 400;\">Returns for WHT which should be filed within 21 days after the duty to deduct arose for deductions from companies, can be calculated by multiplying the applicable rate of WHT with the cost of the transaction. Petroleum companies, however, can file WHT returns within thirty (30) days from the date the amount or the time the duty to deduct arose.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Therefore, computations for filing annual returns for WHT should include the details of monthly WHT returns throughout the accounting year.\u00a0\u00a0<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">Contents of WHT returns:<\/span><\/h2>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Schedule of WHT tax deducted, showing suppliers for the month, the tax identification number (TIN), address of the suppliers, the nature of the transaction, WHT deducted, and invoice number.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Evidence of payment\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\">\n<h2><span style=\"font-weight: 400;\">What are the Due Dates for Filing Self Assessment Tax Returns?\u00a0<\/span><\/h2>\n<\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Filing annual tax returns in Nigeria is to be done within a specific time of the year. Below are the due dates for filing self-assessment tax returns:\u00a0<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Personal Income Tax (PIT): returns filed and tax paid by self-employed individuals on or before the 31st of March of every year.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Companies Income Tax (CIT):<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">(a) for old companies:- within six (6) months from the end of the accounting year (b) for new companies:- within eighteen (18) months from the date of incorporation or not later than six (6) months after the end of its accounting period, whichever is earlier. According to the CITA, new companies are expected to file returns with FIRS within eighteen (18) months of incorporation or six (6) months after the accounting year end, whichever comes first.\u00a0\u00a0\u00a0<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Pay-As-You-Earn (PAYE): Filing of annual returns for PAYE should not be later than 31st January of every year.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Value Added Tax (VAT): VAT returns are to be filed and paid on or before the 21st day of the month following that in which the transaction was made.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Petroleum Profits Tax: Annual returns for Petroleum Profits Tax should be filed within five months after the expiration of the accounting year.\u00a0\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Capital Gains Tax: CGT annual returns are to be filed along with the various tax returns for individuals and companies (e.g. PIT, CIT, PTT).\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\">\n<h2><span style=\"font-weight: 400;\">Summary of What to Do When Filing for Tax Returns with the FIRS\u00a0<\/span><\/h2>\n<\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">The general procedures for filing tax returns with the FIRS are mentioned below:\u00a0<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Relevant returns forms should be obtained from the closest FIRS office &#8211; for free.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Filing up the returns forms carefully and correctly\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Getting the returns form signed correctly\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Completing all relevant information on the relevant form for paying the tax (pay-in slip) at the applicable collecting banks.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Taking a look at the tax payment forms for the second time to ensure all the information provided is correct.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Payments of VAT tax through WHT-approved banks<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Collecting e-tickets as evidence of tax payment from approved collecting bank\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The documents to present to the FIRS when filing tax returns include: an e-ticket issued by the bank as evidence of payment; a duly completed return form; and all other documents as may be required\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Collecting tax receipts from the tax authority and\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Reconciliation of accounts with the tax authority to ensure no outstanding tax remains\u00a0\u00a0<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">The FIRS encourages taxpayers in Nigeria to learn how to handle their tax affairs. That is why we explained the obligations expected of every taxpayer under the self-assessment regime, including how annual returns are calculated. In each of the types of tax in Nigeria, we&#8217;ve provided in-depth explanations to make it easy for taxpayers to replicate calculating annual tax returns for the various taxes on their own without recording understatement of tax in the return filed. We also provided the due dates which within which filing tax returns and paying taxes should be performed. Failure to file returns or pay tax before the due date is a punishable offense under several tax laws in Nigeria. Individual and corporate taxpayers in Nigeria can rely on the wealth of verifiable information contained in this piece for what they need to know on how to handle their tax affairs by themselves.\u00a0<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>As a taxpayer in Nigeria, there are certain obligations you must fulfil as required under specified tax law. Although there&#8217;s &#8230; <\/p>\n<p class=\"read-more-container\"><a title=\"How to Calculate Annual Tax Returns in Nigeria\u00a0\" class=\"read-more button\" href=\"https:\/\/nigerianfinder.com\/how-to-calculate-annual-tax-returns-in-nigeria\/#more-295702\" aria-label=\"More on How to Calculate Annual Tax Returns in Nigeria\u00a0\">Read more<\/a><\/p>\n","protected":false},"author":2534,"featured_media":295704,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3093],"tags":[],"jetpack_sharing_enabled":true,"jetpack_featured_media_url":"https:\/\/nigerianfinder.com\/wp-content\/uploads\/2023\/08\/How-to-Calculate-Annual-Tax-Returns-in-Nigeria-.jpg","jetpack_shortlink":"https:\/\/wp.me\/p6w1sx-1eVo","jetpack-related-posts":[],"_links":{"self":[{"href":"https:\/\/nigerianfinder.com\/wp-json\/wp\/v2\/posts\/295702"}],"collection":[{"href":"https:\/\/nigerianfinder.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/nigerianfinder.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/nigerianfinder.com\/wp-json\/wp\/v2\/users\/2534"}],"replies":[{"embeddable":true,"href":"https:\/\/nigerianfinder.com\/wp-json\/wp\/v2\/comments?post=295702"}],"version-history":[{"count":2,"href":"https:\/\/nigerianfinder.com\/wp-json\/wp\/v2\/posts\/295702\/revisions"}],"predecessor-version":[{"id":295705,"href":"https:\/\/nigerianfinder.com\/wp-json\/wp\/v2\/posts\/295702\/revisions\/295705"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/nigerianfinder.com\/wp-json\/wp\/v2\/media\/295704"}],"wp:attachment":[{"href":"https:\/\/nigerianfinder.com\/wp-json\/wp\/v2\/media?parent=295702"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/nigerianfinder.com\/wp-json\/wp\/v2\/categories?post=295702"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/nigerianfinder.com\/wp-json\/wp\/v2\/tags?post=295702"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}