Due Dates for Filing Tax Returns and Statutory Deductions

By Deloitte Nigeria | 4 min read
13th July 2017
Due Dates for Filing Tax Returns and Statutory Deductions

We have highlighted in the table below, timelines for filing common tax returns and statutory deductions:

Tax type/Statutory deduction

Due dates

Penalties for non-compliance

Collection

agent

Companies Income Tax (CIT)

New companies: The earlier of eighteen (18) months after the date of incorporation and six months after the end of the first accounting year.

 

Existing companies: Not later than six (6) months after a company’s accounting year end.

 

Payment is due within 60days of an assessment being raised

Failure to submit returns attracts ?25,000 for the first month of failure and ?5,000 for each subsequent month of failure.  

 

Late payment attracts 10% penalty while interest is charged at the ruling bank lending rates, currently estimated at 15%/annum.

FIRS[1]

Tertiary Education Tax (TET)

National Information Technology Development Levy (NITDL[2])

Personal Income Tax (PIT) – Pay-As-You-Earn (PAYE) Scheme

Monthly Returns: Within 10 days following the month of deduction.

 

Annual returns: Employers’ Returns is due on or before 31 January, while Individuals’ returns is due 31 March.

Failure to submit monthly returns: 10% of tax due, plus interest at the ruling bank lending rate (21% at the moment).

 

Failure to submit annual returns: ?500,000 for corporate entities and ?50,000 for individuals.

SBIRS[3] &

FCTIRS[4]

Capital Gains Tax (CGT)

For companies: Within 6 months from the company's accounting year-end, along with the CIT returns.

 

For individuals: On or before 31 March, along with PIT returns.

Same as with CIT and PAYE.

FIRS/SBIRS

Value Added Tax (VAT)

Not later than the 21st day of the month following that in which the transaction (purchase or supply) occurred.

Failure to submit VAT returns - ?5,000 for each month in which the failure continues.

Failure to remit - 5% of the amount in default plus interest at the ruling commercial rate (currently estimated at 15% per annum.

FIRS

Withholding Tax (WHT)

FIRS: Not later that the 21st day of the month following that in which deductions were made or credit granted.

 

SBIR: Within 30 days from the date the amount was deducted or the time the duty to deduct arose.

FIRS: 10% of the amount in default, plus interest at the ruling commercial rate per annum (usually 15%).                                                                                                                 

SBIRS: 10% of the amount in default plus interest at the ruling commercial rate usually 21% per annum.

FIRS & SBIRS

Stamp Duties (SD)

Paid at the point of executing the transaction.

Varies according to the type of instrument/transaction.

FIRS & SBIRS

Pension

Within 7 working days from the day the employee is paid his monthly salary.

Default attracts a penalty of at least 2% of the amount due.

PFA[5]

Industrial Training Fund (ITF)

All contributions are to be made not later than 1st April of the subsequent year.

5% of the amount defaulted shall be levied for each month in which default occurs (this is usually compounded monthly in practice).

 

Interest is also charged at 21% per annum.

ITF

National Housing Fund (NHF)

Remittance usually made on a monthly basis alongside monthly payroll.

(a) A corporate entity will be fined ?50,000; and
(b) An individual/staff in the employment of an employer, who is authorised to make the deduction or payments and defaults, is liable to a fine of ?20,000 or imprisonment for a term of five years or to both such fine and imprisonment.
(c) A self-employed person who defaults is liable to a fine of ?5,000 or imprisonment for a term of one year or to both fine and imprisonment.

NHF

National Social Insurance Trust Fund (NSITF)

Remittance usually made on a monthly basis alongside monthly payroll.

10% of the unpaid assessment or the value of the security required, the payment of which may be enforced in the same manner as the payment of an assessment.

NSITF



[1] FIRS = Federal Inland Revenue Service

[2] NITDL is applicable to companies with annual turnover of N100m and above operating in information technology industry and financial services sector

[3] SBIRS = State Board of Internal Revenue Service

[4] The FCTIRS is yet to be functional, as such, the PAYE of the residents of the Federal Capital Territory, employees of the Nigerian Navy, Nigerian Air Force, Nigerian Police Force, officers of the Nigerian Foreign Service and persons resident outside Nigeria who derives income from Nigeria are currently paid to the FIRS.

[5] PFA = Pension Fund Administrator


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© 2017 Akintola Williams Deloitte


Deloitte Nigeria
Deloitte & Touche is the Deloitte Touche Tohmatsu Limited (DTTL) member firm in Nigeria and the oldest indigenous professional services firm in Nigeria. The firm was established in 1952 by Mr. Akintola Williams, FCA, CFR, CBE, the doyen of the accountancy profession in Nigeria. Through astute management, the member firm has grown in size and scope of services to become one of the largest global professional services organisations in Nigeria, with offices in Lagos, Abuja and Port Harcourt. The firm currently provides audit, tax, consulting, accounting and financial advisory, corporate finance, and risk advisory services, to public and private clients spanning multiple industries. www.deloitte.com.ng
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