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NATIONAL IDENTIFICATION NUMBER TO SERVE AS TAX ID FOR INDIVIDUALS – FIRS
…CAC RC Number to also serve as Company’s Tax ID
The Federal Inland Revenue Service (FIRS) has announced that the National Identification Number (NIN) issued by the National Identity Management Commission (NIMC) will now automatically serve as the Tax Identification Number (Tax ID) for individual Nigerians under the country’s new tax regime.
The clarification was made on Monday through a public awareness campaign on its official X handle, as the tax authority sought to address widespread concerns over provisions in recently passed tax legislation.
According to the FIRS, registered businesses will also no longer need a separate Tax Identification Number, as their Corporate Affairs Commission (CAC) registration (RC) number will now function as their Tax ID.
The announcement follows the passage of the Nigeria Tax Administration Act (NTAA), one of the new tax laws introduced as part of the Federal Government’s broader fiscal and tax reform agenda.
The NTAA is scheduled to come into force in January 2026 and mandates the use of a Tax ID for certain financial and economic transactions, including banking-related activities.
However, the FIRS stressed that the requirement for a Tax ID is not entirely new. It explained that similar provisions have existed since the Finance Act of 2019, but have now been consolidated and strengthened under the NTAA.
Under the new framework, the Tax ID will unify all previously issued Tax Identification Numbers by the FIRS and state internal revenue services into a single, harmonised identifier.
“For individuals, your NIN automatically serves as your Tax ID, while for registered companies, your CAC RC number is used,” the FIRS said. “You do not need a physical card. The Tax ID is a unique number linked directly to your identity.”
The agency said the system is designed to simplify identification, reduce duplication, close loopholes for tax evasion and promote fairness by ensuring that individuals and entities earning taxable income contribute appropriately.
With the new arrangement, all Nigerians who have been issued a NIN — estimated at about 123.9 million as of October 2025, according to NIMC data — automatically have a Tax ID and can be captured in the tax net if they earn taxable income.
The clarification has eased fears that Nigerians would be required to undergo another round of registration to obtain a Tax ID before being able to operate bank accounts from 2026.
Amid public anxiety over the implications of the new tax laws, the Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, Taiwo Oyedele, has also dismissed claims that all bank account holders must have a Tax Identification Number before January 2026.
Oyedele explained that Section 4 of the NTAA requires only “taxable persons” to obtain a Tax ID, defining taxable persons as those who earn income from trade, business or other economic activities. He added that individuals without income — such as students and dependents — are not required to obtain a Tax ID under the law.
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