• FIRS grants Nigerian taxpayers a 30- day window to enable them to obtain a Tax Clearance Certificate.
  • FIRS management says it will not hesitate to use enforcement activities after the grace period.
  • Tax Clearance Certificate is an official document issued by the relevant tax authority to a taxpayer, confirming assessment and payment of tax liability. 

The Federal Inland Revenue Service (FIRS) has offered taxpayers a 30- day window to enable them to obtain a Tax Clearance Certificate.

Muhammad Nami, FIRS' Executive Chairman, said this in a public notice he signed and titled, “FACILITATING 2020 TAX CLEARANCE CERTIFICATE (TCC) ISSUANCE”.

According to the notice, the grace period will assist taxpayers to meet their obligations.

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“Following the numerous complaints received from our esteemed taxpayers with respect to difficulties encountered before obtaining tax clearance certificate (TCC) and the fact that taxpayers need TCC to enable them to, inter alia, seek and obtain contracts and loans, renew permits, registrations, franchises, agreements and/or licenses that will invariably generate revenue from which taxes will be paid, management has looked into the above complaints and has taken steps to ease the process of obtaining TCC.

“Consequently, notice is hereby given that the service has put in place machinery to issue 2020 TCC for all eligible taxpayers from January 2 to January 31, 2020,” the notice read.

The FIRS management said it will not hesitate to use enforcement activities including the imposition of a lien on bank accounts of defaulting companies to recover any outstanding debts when it discovers that the taxpayer has misled the service in her duty to observe tax compliance.

“The issuance of TCC to ease the burden of taxpayers is in line with the provisions of Section 101 (1) of CITA LFN 2004 and in conformity with Self-Assessment Regulation, 2011.”

President Muhammadu Buhari in a handshake with Alh Mohammed Nami during the Inauguration of Audit Committee on Recoveries at the State House in Abuja, November 2017.
President Muhammadu Buhari in a handshake with Alh Mohammed Nami during the Inauguration of Audit Committee on Recoveries at the State House in Abuja, November 2017.
vanguard newspaper

What is a Tax Clearance Certificate?

Usually in a document titled, “Tax Form Z”. TCC is an official document issued by the relevant tax authority to a taxpayer, confirming assessment and payment of tax liability.

What is the purpose of TCC?

In Nigeria, Tax Clearance Certificate (TCC) is used to apply for a government loan for industry or business. Others include firearms licence, motor vehicle licence, contracts, property development, among others.