…Large taxpayers face Q2 enforcement
The Nigeria Revenue Service (NRS) has released a comprehensive implementation timeline for its E-Invoicing and Electronic Fiscal System (EFS) regime, signaling a definitive shift toward the full automation of tax administration in Nigeria.
The move, which follows the initial launch of the Merchant Buyer Solution (MBS) in August 2023, aims to enhance transparency and improve voluntary compliance across all taxpayer segments. According to a public notice signed by Zacch Adedeji, chairman Nigeria Revenue Service the rollout is structured around annual turnover thresholds, categorised into Large, Medium, and Emerging taxpayers.
The NRS specified that large taxpayers, which include entities with an annual turnover exceeding N5 billion, are already in the advanced stages of this transition. These companies have completed the stakeholder engagement, pilot, and go-live phases and are currently undergoing a post-go-live review scheduled to conclude in March 2026.
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The revenue authority has served notice that compliance enforcement for this segment will commence in April 2026, leaving large corporations with a narrow window to ensure their systems are fully integrated with the NRS platform.
For medium taxpayers with a turnover between N1 billion and N5 billion, the engagement phase is currently ongoing and will run through March 2026. This group is expected to move into a pilot rollout in the second quarter of the year before an official go-live date on July 1, 2026. Enforcement for this category is slated to begin in January 2027.
Emerging taxpayers, consisting of businesses with a turnover below N1 billion, have been granted a longer runway to adapt to the new digital requirements. Their engagement phase is set to begin in January 2027, with a full go-live date scheduled for July 1, 2027, and enforcement activities expected to start in early 2028.
The NRS stated that the deployment is backed by Section 23 of the Nigeria Tax Administration Act (NTAA) and Section 15B of the Nigeria Tax Act (NTA), which mandates taxpayers to adopt fiscalization systems deployed by the Service. While the NRS noted that timelines are indicative and subject to adjustment based on operational readiness, the message to the private sector is clear that the era of paper-based invoicing is coming to an end.
