Nigeria’s tax administration is set to undergo a major structural shift as the Federal Inland Revenue Service (FIRS) moves to harmonise identification systems across government agencies.
From January 1, 2026, the National Identification Number (NIN) will automatically serve as the Tax Identification Number (TIN) for individual Nigerians, while the Corporate Affairs Commission (CAC) registration number will function as the official tax identifier for registered businesses.
The clarification was made public through an awareness campaign by the FIRS, following widespread concern and debate over provisions in the newly enacted tax laws, the provisions require a Tax Identification Number for certain financial and commercial transactions, including the ownership and operation of bank accounts.
The announcement is intended to reassure the public and clarify that Nigerians will no longer need to apply separately for a TIN once they already possess a NIN or CAC number.
According to the FIRS, the reform is designed to simplify the tax process by eliminating duplication across government databases.
Officials say multiple identification systems have historically created inefficiencies, compliance gaps, and opportunities for tax evasion, by linking tax records directly to existing national identity and business registration systems, the government aims to build a more comprehensive and accurate taxpayer database.
The Service explained that the new framework will make it easier to track taxable income, improve enforcement, and ensure that individuals and businesses contribute their fair share to national revenue.
The development also aligns with broader fiscal reforms targeted at expanding Nigeria’s tax base, which remains relatively low compared to the size of the economy.
Providing further clarity, the Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, confirmed that banks will be required to request a TIN from all taxable Nigerians under the new system.
However, he stressed that for individuals, the NIN automatically fulfils that requirement, while businesses will rely on their CAC registration numbers.
Oyedele noted that the reform is part of a broader effort to modernise Nigeria’s tax architecture, strengthen revenue mobilisation, and reduce dependence on borrowing.
As implementation draws closer, the government says further public sensitisation will be carried out to ensure a smooth transition and to address concerns from citizens, businesses, and financial institutions alike.
