The Chairman of the Federal Inland Revenue Service (FIRS), Zacch Adedeji, has issued a directive to foreign shipping companies, urging them to comply with existing tax regulations in Nigeria to address ongoing revenue challenges. Adedeji emphasized that strict compliance is essential to avoid any violations. The FIRS is committed to monitoring the adherence of all taxable entities in the country to ensure that the federal government receives its rightful revenue.
Speaking at a workshop on the taxation of non-resident shipping companies in Lagos, organized by FIRS in collaboration with the Oil Producers Trade Section (OPTS) on Monday, Adedeji outlined that the ongoing tax compliance efforts are particularly focused on foreign shipping companies involved in the transportation of hydrocarbons from Nigeria. These measures are part of a broader strategy to expand the tax base and enhance government revenue.
Assuring international companies, Adedeji, as reported by his Special Adviser on Media, Dare Adekanmbi, clarified that the FIRS is solely interested in enforcing compliance with existing tax laws and not in disrupting the operations of these companies. He highlighted that Section 14 of the Companies Income Tax Act (CITA) 2004 (as amended) mandates foreign companies engaged in shipping and air transport operations in Nigeria to file tax returns. The FIRS aims to ensure a fair and transparent taxation system, contributing to the sustainable growth of government revenue.
