Nigeria secures global recognition for Tax-ID

Nigeria has recorded a major breakthrough in its digital trade drive with the global registration of its Tax Identification Number (Tax-ID) and the approval of the Federal Inland Revenue Service (FIRS) as the country’s Peppol Authority.

Peppol is a globally recognised framework for the secure and standardised exchange of electronic documents, widely adopted across Europe, Asia, and Australia.

With support from the Standards Organisation of Nigeria (SON), Nigeria’s Tax-ID has now been registered under the ISO/IEC 6523 International Coding System, giving individuals and businesses in the country international recognition in cross-border transactions.

As Peppol Authority, FIRS will enable Nigerian businesses to connect seamlessly to the global network—reducing administrative costs, ensuring faster payments, and boosting competitiveness. The agency said the move will simplify tax compliance and further enhance Nigeria’s appeal as a trade and investment hub.

Under the new framework, Tax-IDs generated with the National Identification Number (NIN) for individuals and Corporate Affairs Commission (CAC) numbers for businesses will be internationally referenceable. The initiative also eliminates duplication, reduces errors, and eases compliance by unifying Tax-IDs across federal and state levels.

To deepen the reforms, FIRS has introduced the Merchant Buyer Solution (MBS) e-invoicing platform.

Large taxpayers are required to integrate with the platform by November 1, 2025, while medium and small businesses will be phased in subsequently.

Companies are advised to validate their Tax-IDs, update accounting systems, and begin onboarding early.

“The launch of MBS is a significant step in simplifying tax administration, closing compliance gaps, and aligning Nigeria with global standards in taxation and cross-border trade,” FIRS said.