Nigerians do not need a tax identification number (Tax ID) to operate a bank account unless they earn income through business or other taxable activities, the Joint Tax Board (JTB) has clarified in a social media post by Taiwo Oyedele, Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms.
Under the Nigeria Tax Administration Act (NTAA), taxable persons—defined as anyone earning income from trade, business, or economic activity—must register for a Tax ID. Students, dependents, and other individuals without income are exempt.
The law, which has existed since the Finance Act of 2020, also harmonizes identification across agencies, meaning an individual’s National Identification Number (NIN) or a company’s CAC registration can serve as a Tax ID. Existing TINs remain valid.
Businesses, including companies and non-governmental organizations, must obtain a Tax ID. Government agencies at federal, state, or local levels are also required to register. Nigerians in the diaspora who earn income from Nigeria can apply online for a Tax ID.
The JTB emphasized that no physical card or biometric enrollment is required, and the registration is free. Officials also dismissed fears that the law allows the government to seize bank funds, noting such actions are rare and require court procedures.
The Tax ID system aims to simplify compliance, close loopholes, and ensure fair contribution from all income earners while protecting low-income citizens. All taxable persons are expected to be registered by January 1, 2026.
