Juliet Ezeh
With just hours remaining before the March 31, 2026 deadline, many Nigerians are still uncertain about filing their personal income tax returns, a legal obligation under the Nigeria Tax Act 2025. The law requires all individuals earning income salaried employees, self-employed professionals, and business owners to submit annual returns covering earnings from the previous year.
Know Who Must File
Employees under Pay-As-You-Earn (PAYE) may have taxes deducted by employers, but additional income freelance work, rental income, dividends, or multiple jobs must be self-reported. Failure to file can attract fines, extra charges, and administrative penalties.
Obtain Your Tax Identification Number (TIN)
Before filing, a TIN is required, obtainable online via the National Identification Number, the Federal Inland Revenue Service, or relevant state tax authorities.
Calculate Income and Claim Eligible Reliefs
The Consolidated Relief Allowance has been abolished. Taxpayers paying rent can now claim rent relief, capped at ₦500,000 or 20% of annual rent. Other deductions, like pension and National Housing Fund contributions, still apply. Nigeria’s progressive tax system exempts the first ₦800,000 of taxable income from tax.
Filing Made Simple
Tax returns can be filed online via state portals or physically at tax offices. Accurate reporting of income, deductions, and supporting documentation is essential. After submission, taxpayers receive acknowledgment and can raise objections if necessary.
Why Timely Filing Matters
Compliance is not just a legal requirement it ensures eligibility for loans, visas, government contracts, and a Tax Clearance Certificate. Filing early avoids portal congestion and gives time to resolve any discrepancies.
As the March 31 deadline looms, Nigerians are urged to act swiftly to avoid penalties and ensure full compliance with the 2025 tax reforms.
