FIRS Introduces New Platform For Oil And Gas, Other Firms to Pay Taxes, Sets to Begin E-Invoicing

• The Federal Inland Revenue Service has continued with its plans to boost tax compliance in Nigeria and ease the system
• The agency continued its stakeholder engagement with oil and gas, manufacturing, and midstream players in a two-day event in Lagos
• The tax administrator acquainted the stakeholders with its newly designed e-invoicing platform set for launch on July 31, 2025

Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.

The Federal Inland Revenue has commenced plans to boost tax payment and compliance in Nigeria.

The agency continued its stakeholder engagement on e-invoicing with large taxpayers, targeting oil and gas, midstream players, and the manufacturing sector in Lagos on Monday, May 26 and 27, 2025.

Top stakeholders onboarded by FIRS

The event brought top stakeholders from the oil and gas, manufacturing and midstream players to discuss the e-invoicing platform, designed by the agency to boost documentation and effectively phase out paper invoicing.

The FIRS lead consultant, Sodiq Arogundade, highlighted the importance and features of the novel system, saying that it was designed to automate tax compliance and reduce the hassles of paperwork and bookkeeping.

He said the platform will automate compliance and reduce the effort of manually recording tax payments.

“We have built an electronic invoicing system for taxpayers and businesses to manage their invoicing processes. But we need to ensure that we have all use cases, all feedback, all comments, and concerns of taxpayers handled while we are building the system,” he said.

FIRS explains the reason for the platform

He explained that the essential aim of the engagement was to gather data from taxpayers and businesses and refine the new system, which is due to launch on July 31, 2025, according to the agency.

Arogundade further explained the advantages of the system, saying it allows companies to automate workflows, reducing the effort for normal bookkeeping.

He disclosed that the FIRS wants to be part of the bookkeeping lifecycle so that it can identify the tax elements of the invoice and do the job for them.

He stated that the system would reduce the administrative hassles on businesses and also ensure accurate and timely tax compliance.

Mike Adoga, the Acting Director of Tax Automation at the agency, stressed the potential of the e-invoicing platform to produce real-time transaction visibility across the sectors and boost compliance.

According to Adoga, the move is about electronic and real-time exchanges between businesses and their customers, enabled by the FIRS technology.

He said that the benefits include accuracy and efficiency.

The platform to capture various taxes

The e-invoicing platform will capture VAT at 7.5%, withholding tax, company tax, and personal income tax.

Adoga said the e-invoicing platform will close the revenue loophole, boost compliance, and align Nigeria’s tax system to global best practices.

He also stressed the importance of stakeholder engagement in unravelling the e-invoicing system, saying that there are still misconceptions, which are helping the FIRS to close the gap.

Adoga encouraged businesses to leverage the system to improve tax compliance and reduce disputes.

FIRS continues onboarding large taxpayers

Legit.ng earlier reported that the FIRS has started onboarding large taxpayers on its Merchant Buyer Solution (MBS) interface.

It will begin implementing the national e-invoicing project fully on July 25, 2025.

The project is a Merchant Buyer Solution that provides a digital representation of transactions between suppliers and buyers, replacing traditional paper or electronic documents such as invoices, credit notes, and debit notes.

Source: Legit.ng