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By Uche Usim
The Nigeria Revenue Service (NRS), in partnership with the Joint Revenue Board (JRB), has unveiled a new nationwide Taxpayer Identification (Tax ID) system aimed at streamlining tax administration and consolidating taxpayer data across all levels of government.
The initiative, announced in a public notice on Monday, is anchored on Sections 6, 7 and 8 of the Nigeria Tax Administration Act, 2025, which require every taxable person in the country to be registered under a unified tax identity.
According to the NRS, the reform is designed to simplify tax processes, improve compliance and strengthen transparency within Nigeria’s tax ecosystem by eliminating multiple and fragmented taxpayer identities.
The agency explained that the new Tax ID will function as a single identifier for all individuals, businesses and entities engaging with tax authorities nationwide, cutting across both federal and state systems.
“The Tax ID will serve as a single, unified identity for all taxpayers, enabling seamless interaction with tax authorities at both federal and sub-national levels. It is designed to consolidate taxpayer records, eliminate duplication, and ensure more efficient management of tax-related information,” the NRS stated.
Under the new framework, taxpayers will be able to use one identity for registration, filing and payment of taxes, a shift expected to reduce administrative bottlenecks and improve ease of compliance.
The NRS said the system will also enhance visibility over taxpayer activities, improve accountability in revenue collection, and reduce leakages that have historically affected public finance efficiency.
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It further noted that the reform will harmonise tax records across all tiers of government, creating a more integrated and data-driven tax administration structure.
As part of the transition, the agency disclosed that the new Tax ID system will replace the existing Tax Identification Number (TIN) Validation API currently used by Ministries, Departments and Agencies (MDAs), financial institutions and other service providers.
Organisations requiring access to integration or validation services for individuals, enterprises and business names have been directed to engage the Standardisation and Modernisation Department of the JRB for updated API access and technical guidelines.
Similarly, corporate tax validation and integration services will now be handled through the Tax Automation Department of the NRS.
The agency also pointed out that the reform builds on earlier policy steps, including the adoption of the National Identification Number (NIN) as a valid Tax ID for individuals, while the Corporate Affairs Commission (CAC) registration number continues to serve as the tax identity for registered businesses.
According to the NRS, the Nigeria Tax Administration Act (NTAA), which became operational in January 2026, formalises the use of Tax ID for a range of financial and administrative transactions, reinforcing compliance across the system.
It added that although the framework appears new, the principle of a unified tax identity has been evolving since the Finance Act 2019 and has now been strengthened under the NTAA to improve efficiency and accountability.
With the new system, authorities expect a more coordinated tax database, improved revenue tracking, and a reduction in identity duplication that has long complicated tax administration in Nigeria.
