Every Nigerian Must File Tax Returns Before March 31, Oyedele Tells Nigerians

Nigerians face a critical deadline that impacts financial stability and legal compliance. Taiwo Oyedele, Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, emphasizes that every individual must submit annual tax returns by March 31.

This mandate applies to all, including salaried employees with taxes deducted at source. Oyedele's statement highlights a push for better tax adherence amid ongoing reforms. As the 2026 deadline approaches for 2025 earnings, understanding this requirement prevents costly mistakes.

Oyedele clarifies the law during recent engagements. He states that filing returns ensures accurate tax assessments and supports national development. Many Nigerians overlook this obligation, leading to low compliance rates.

The expert urges action, noting that even low-income earners qualify for exemptions but still need to file. This process verifies income sources and deductions, promoting transparency in the system.

Why Every Nigerian Must File Tax Returns

The Personal Income Tax Act mandates annual filings for all taxable persons. Oyedele points out that employees often assume PAYE covers everything. However, submitting a return confirms deductions and claims reliefs. Businesses and self-employed individuals report all earnings. Failure to file invites audits, fines, or legal actions from authorities like the Federal Inland Revenue Service (FIRS) or state revenue services.

Filing contributes to Nigeria's economy. Taxes fund infrastructure, healthcare, and education. Oyedele advocates for a fair system where everyone participates. Recent reforms simplify processes, reducing burdens on low earners. For instance, individuals earning below N800,000 annually may owe zero tax but must declare to avoid future disputes.

Understanding the March 31 Tax Filing Deadline

March 31 marks the cutoff for individual tax returns covering the previous calendar year. For 2025 income, submissions are due by March 31, 2026. Oyedele distinguishes this from employer deadlines, set for January 31. Employers file on behalf of staff, detailing emoluments and withholdings. Individuals then self-assess to reconcile any discrepancies.

Delays incur penalties. Late filings attract a N5,000 flat fee plus N100 daily. Interest on unpaid taxes compounds issues. Oyedele warns that non-compliance erodes trust in the tax system. With digital tools now available, excuses hold less weight. Platforms like the FIRS e-filing portal streamline submissions, making it accessible from anywhere.

Steps to File Your Nigerian Tax Returns

Start by gathering documents. Collect payslips, bank statements, and receipts for deductions like pensions or health insurance. Register for a Taxpayer Identification Number (TIN) if you lack one. Visit the nearest revenue office or apply online via the Joint Tax Board website.

Next, choose your filing method. Online portals offer convenience. Log into the FIRS or state revenue site, input details, and upload supporting files. Manual forms are available for those preferring paper submissions. Calculate your taxable income by subtracting allowances from gross earnings.

Submit before the deadline. Double-check for accuracy to prevent rejections. Oyedele recommends consulting professionals for complex cases, such as multiple income streams. Once filed, retain copies and track acknowledgments.

Benefits of Timely Tax Filing in Nigeria

Compliance brings rewards. Eligible filers claim refunds for over-deductions. Oyedele highlights how reforms exempt low earners, easing financial strain. Proper filing builds credit history, aiding loan applications. It also positions you for government incentives, like tax holidays for certain sectors.

Nationally, higher compliance boosts revenue without new taxes. Oyedele envisions a system where funds improve public services. Individuals gain peace of mind, avoiding surprise assessments. Early filing prevents last-minute rushes, reducing errors.

Common Mistakes to Avoid When Filing Taxes

Many skip filing due to misconceptions. Oyedele addresses this: even zero-tax liability requires a return. Underreporting income triggers audits. Forgetting deductions inflates liabilities. Use active voice in declarations; state facts clearly.

Rely on verified sources. Scams target tax seasons; verify communications from revenue bodies. Oyedele advises using official channels. Procrastination ranks high among pitfalls. Start early to gather data calmly.

Penalties for Missing the March 31 Deadline

Authorities enforce strict measures. Oyedele stresses that ignorance offers no defense. Fines start small but escalate. Persistent non-filers face asset seizures or court summons. Businesses risk license revocations.

Recent laws empower substitutions, allowing direct debits after notices. Oyedele clarifies this applies post-negotiation, not arbitrarily. Avoid these by filing promptly.

FAQs on Nigerian Tax Returns and Oyedele's Advice

Who must file? Every adult with income, per Oyedele.

What if I earn little? File anyway; you may qualify for exemptions.

How do I file online? Access FIRS portal with your TIN.

Are extensions possible? Rarely; apply in advance with justification.

Oyedele's call aligns with broader reforms. He encourages education on taxes. Resources like workshops and helplines assist. Engage with revenue offices for guidance.

Filing taxes empowers you. It ensures fair contributions and accesses benefits. As March 31 nears, act now. Oyedele's message resonates: compliance strengthens Nigeria. Secure your finances; file today.