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Effective June 26, 2025 ยท Activated January 1, 2026

Nigeria Revenue Service (Establishment) Act, 2025

Transforming the Federal Inland Revenue Service (FIRS) into the Nigeria Revenue Service with enhanced powers, digital-first administration, and modernized operations to improve tax collection efficiency and taxpayer experience.

Effective: June 26, 2025
Activated: January 1, 2026

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Download NRS Act (PDF)

Official document from the Federal Government of Nigeria

Key Features of the New Revenue Service

Enhanced Enforcement Powers

Expands the authority and capabilities of the revenue service to ensure effective tax collection and compliance

Digital-First Tax Administration

Implements modern, technology-driven processes for tax administration, filing, and compliance monitoring

Improved Taxpayer Services

Enhances service delivery with better support systems, clearer processes, and faster response times

Streamlined Collection Processes

Modernizes and simplifies tax collection procedures for improved efficiency and reduced compliance burden

Areas of Transformation

The Nigeria Revenue Service Act brings comprehensive changes across multiple areas of tax administration, modernizing operations and improving service delivery.

Organizational Structure and Governance
Digital Infrastructure and Technology
Taxpayer Service and Support Systems
Enforcement and Compliance Mechanisms
Data Management and Analytics
Inter-agency Coordination and Cooperation

Impact on Stakeholders

Individual Taxpayers

  • Simplified filing processes through digital platforms
  • Faster response times for queries and refunds
  • Enhanced taxpayer rights and protection
  • Improved access to tax information and services

Businesses and Corporations

  • Streamlined compliance procedures
  • Digital-first interaction with tax authorities
  • Enhanced audit and assessment processes
  • Better integration with business systems

Tax Professionals

  • New digital tools and platforms for client services
  • Updated compliance requirements and procedures
  • Enhanced access to tax authority information
  • Modernized professional development requirements

Implementation Timeline

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Act Signed into Law

June 26, 2025

The Nigeria Revenue Service (Establishment) Act was officially signed into law and became effective, initiating the transformation of FIRS.

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Transition and Preparation

June 2025 - December 31, 2025

Although the Act became effective on June 26, 2025, FIRS underwent organizational restructuring, staff retraining, technology upgrades, and system integration to prepare for activation.

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Nigeria Revenue Service Activated

January 1, 2026

The Act was activated and the Nigeria Revenue Service began full operations with enhanced powers, digital-first processes, and modernized taxpayer services.

Frequently Asked Questions

What is the Nigeria Revenue Service Act 2025?

The Nigeria Revenue Service Act, 2025 (NRSA) renamed and restructured the Federal Inland Revenue Service (FIRS) into the Nigeria Revenue Service (NRS). It redefined the agency's mandate, governance structure, and enforcement powers to better align with the broader tax reform agenda. The NRS now operates under an updated legal framework designed to improve efficiency, autonomy, and taxpayer service delivery.

What replaced FIRS in Nigeria?

The Federal Inland Revenue Service (FIRS) was renamed and reconstituted as the Nigeria Revenue Service (NRS) under the Nigeria Revenue Service Act, 2025. The NRS assumes all the functions, assets, liabilities, and staff of the former FIRS. Taxpayers who previously dealt with FIRS now deal with NRS for federal-level tax compliance, including Company Income Tax, VAT, WHT, and Petroleum Profits Tax.

What is the mandate of the Nigeria Revenue Service?

The Nigeria Revenue Service (NRS) is responsible for assessing, collecting, and accounting for taxes and revenues due to the Federal Government of Nigeria under applicable legislation. This includes Company Income Tax (CIT), Value Added Tax (VAT), Withholding Tax (WHT), Capital Gains Tax (CGT), Petroleum Profits Tax (PPT), Tertiary Education Levy (now Development Levy), and Stamp Duties on certain instruments.

How does the NRS Act affect taxpayer rights?

The NRSA introduced stronger taxpayer rights provisions, including the right to fair hearing before assessments are finalised, access to the taxpayer charter, clearer dispute resolution timelines, and enhanced obligations on the NRS to issue rulings and advance pricing agreements. The Act also mandates the NRS to publish practice notes and interpretive guides to improve taxpayer certainty.

What enforcement powers does the Nigeria Revenue Service have?

The NRS retains broad enforcement powers under the NRSA and the Nigeria Tax Administration Act, 2025, including the power to conduct tax audits and investigations, levy distrait (seizure of assets), institute criminal proceedings for tax fraud, apply penalties and interest, and restrict the bank accounts of persistent tax defaulters. These powers are subject to the procedural safeguards set out in the Nigeria Tax Administration Act.

How do I file taxes with the Nigeria Revenue Service?

All federal tax filings in Nigeria are conducted through the TaxPro Max platform at taxpromax.firs.gov.ng (now operated by NRS). This includes CIT returns, VAT monthly returns, WHT remittances, and Stamp Duty declarations. The NRS also maintains taxpayer service centres across Nigeria for in-person assistance and has a dedicated helpline and email support for compliance queries.

Prepare for the Changes

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