Paying your tax is a civic duty and a requirement of the law. If you do not pay your tax, Revenue Agency(s) – Federal, State and Local Government, in some instances will come for you and your business(s) with penalties, ranging from interest, fines, closure of business to possible jail time.
Tax evasion is a serious offense considered a crime not just by the Nigerian government, but by governments all over the world. Unfortunately, ignorance is not an excuse before the law, yet, many business(s) are in the dark about how the Nigerian tax policy affects them.
The common questions often asked include:
- Does my business qualify to pay tax?
- How much should my business pay?
- How should my business calculate and charge for tax?
- How should my business file taxes?
- What does my business stand to gain by being tax compliant?
How To Protect your Business from Tax Issues
- Keep your financial records
- Remit your VAT, WHT and other deductions before 21st of every month
- Deduct PAYE on employee’s salary and remit accordingly
- Audit your financial records annually
- Do your filings and returns with FIRS before end of June 2020.
- Companies outside the 25 Million Naira turnover must pay VAT on invoices received, even, if the VAT was not charged by the issuer or provider of services or goods.
- Pay your Company Income Tax at applicable rate, if your business falls within such threshold.
- Pay your Company Income Tax early, to enjoy 2% bonus on your tax liability.
- Know about your Residence Tax, if you are involve in International business
- Respond urgently to any tax issues raised against your business buy any Agency of Government. With the 2019 Finance Acts, an email, can also be a means of communication with respective tax office.
- Above all, get a professional advise on how 2019 Finance Acts and other tax and fiscal policy affects your business.
As a business owner, should you require clarifications on any of the above listed questions, do not hesitate to contact SOW Professional – a professional Tax Advisory and Management Firm.
We at SOW Professional offer a range of tax and accounting solutions for Small & Medium Enterprises (SMEs and Established Corporate businesses).
We would be glad to assist you in your accounting, tax and business development concerns.
Book a free advisory session with us today.
E-mail: firstname.lastname@example.org Website: www.sowprofessional.com Phone: 07038254989 Whassapp: 07038254989