NRS says phased e-invoicing rollout prioritizes large taxpayers to ease compliance, enhance transparency, and improve revenue collection under the new Tax Act

The Nigeria Revenue Service has outlined the phased implementation of the new Tax Act, designed to address challenges associated with introducing the revised tax regime.

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Speaking at an e-invoicing compliance workshop organised by eTranzact in collaboration with the NRS, Project Manager Mohammed Bawa explained that the first year focuses on large taxpayers to facilitate a smooth transition.

“Concentrating on large businesses during the initial phase is intended to strengthen system integration, resolve operational bottlenecks, and support taxpayers on how best to comply,” Bawa said.

The NRS has also set up simulation and engagement portals, additional server capacity, and accredited service providers to guide businesses through the new digital invoicing process.

Bawa noted that e-invoicing increases transparency, reduces errors, expedites refunds, and lowers the risk of penalties.

Service providers, including eTranzact, are expected to help taxpayers adopt the automated system seamlessly, ensuring compliance while providing efficiency gains for businesses.

Abubakar Achimogo, Director at eTranzact, added that the digitalisation of invoicing will protect businesses from multiple taxations and provide real-time tracking of tax payments.

He emphasised that the system is user-friendly and designed to benefit both the economy and taxpayers.

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The NRS said medium-sized taxpayers with turnover between ₦1 billion and ₦5 billion will be phased into the e-invoicing system later in the year, with full compliance expected by early 2027.