In a transformation of digital tax administration, the Federal Inland Revenue Service (FIRS) has commenced an electronic invoicing solution (e-invoicing) aimed at revolutionising tax payment in the country.
The e-invoicing system, also known as the Merchant-Buyer Model, aims to make tax compliance easier, faster, and more transparent for all taxpayers.
A statement by Dare Adekanmbi, Special Adviser on Media to the FIRS chairman, Zacch Adedeji, said the e-invoicing solution went live on August 1, following a successful pilot phase which began in November 2024.
Large taxpayers, companies with an annual turnover of N5 billion or more, are expected to be the first to be onboarded on the platform.
In less than two weeks of the initiative going live, 1,000 companies, representing 20 per cent of over 5,000 eligible firms, have embraced the solution and commenced integration with the FIRS MBS platform.
The remaining large taxpayers are expected to join on or before November 1, the deadline for all the firms in the category to finalise their onboarding and integration processes.
“MTN Nigeria became the first taxpayer to transmit live electronic invoices to the FIRS, officially ushering in the e-invoicing regime. Huawei Nigeria and IHS Nigeria have also concluded test transmissions and are set to go live in the coming days.”
“In collaboration with the National Information Technology Development Agency (NITDA), Service Providers have been incorporated into the ecosystem to act as both System Integrators and Access Point Providers. These providers will facilitate taxpayers’ onboarding, integration, and invoice transmission processes.
The statement added that FIRS commended all large taxpayers, tax consultants, and service providers for their cooperation and commitment to the success of the e-invoicing project.
“We also acknowledge the genuine efforts of many taxpayers who strove to meet the 1st of August 2025 deadline but encountered operational constraints.
“In the spirit of encouraging voluntary compliance, the FIRS management has graciously approved a three-month extension of the deadline, with the new deadline now set for 1st November 2025.
“The FIRS e-Invoicing Implementation Team will continue to provide support through stakeholder engagements, including webinars, workshops, and town hall meetings, to ensure a seamless transition for all large taxpayers.
The national e-invoicing solution is an electronic fiscal system (EFS) developed by FIRS to provide real-time visibility into commercial transactions and ensure invoice authenticity, accuracy, and completeness.
It is being rolled out in phases, beginning with large taxpayers and with those in the medium and emerging groups to follow.
The system aligns with global best practices and supports the federal government’s broader objectives of enhancing revenue assurance, reducing tax evasion, and modernising tax administration.
It is also a critical tool in implementing the Nigeria Revenue Services Reform Act, which seeks to harmonise revenue reporting and establish a single source of truth for government revenues.
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