WHAT IS TAX PRO-MAX
Taxpromax is one of the newest innovations of the Federal Inland Revenue Service (FIRS) launched to simplify tax compliance and to enhance a digital tax administration process in Nigeria. Taxpromax is a self-service platform or portal that enables taxpayers to file tax returns, pay taxes, process and validate Tax Clearance Certificates, etc.
WHEN DO I NEED TO REGISTER ON THE TAX PRO-MAX PORTAL?
At the time of this publishing article, all registered companies in Nigeria are required to be enrolled on the Taxpromax portal after obtaining the company’s tax identification number with the Federal Inland Revenue Service to activate the tax identification number.
HOW TO REGISTER FOR TAX PRO-MAX
1. To register for taxpromax, the company needs to have its Tax Identification Number (TIN), this is done through the application to the nearest FIRS office.
2. Complete a form for tax pro-max requiring certain information to be given which includes: company registration details such as name, details of members of the company, Tax Identification Number, and an active email address for verification.
3. Afterwards, an official of the FIRS will conduct the registration and a password will be sent to the email address given which will be used to access the tax pro-max portal.
4. Registering with the FIRS helps to generate a Payment Reference Number (PRN) or Document Identification Number (DIN), to facilitate payments.
BENEFITS OF TAX PRO-MAX
a. It facilitates seamless registration and payment of taxes.
b. Enables automatic credit of withholding tax as well as other credits to taxpayer’s accounts.
c. Creates ease and convenience for taxpayers as regards filling of tax returns and payment of tax liabilities from any physical location.
d. Promotes tax compliance as reports from the FIRS show that there is an increased rate of revenue collection since the introduction of the taxpromax.
e. It allows taxpayers to gain access to information about tax laws and regulations without having to visit the FIRS offices.
The introduction of Taxpromax has brought tremendous benefits but also has challenges such as technical issues, server downtimes, not being accessible to people in remote areas, etc. The benefits however outweigh the challenges which with consistent use will create room for proper modifications where necessary.
Need guidance on tax planning and management for your business in Nigeria? Please reach out to us through the Whatsapp icon on the lower right part of this page or HERE, and our team of tax advisors will be delighted to assist you.
LEARN THE BASICS OF TAXES BY GETTING YOUR COPY OF THIS E-BOOK – ESSENTIAL TAX GUIDE FOR BUSINESSES IN NIGERIA HERE