One of the components of the various tax structures in Nigeria is Company Income Tax (CIT). In this tax structure, taxes are payable on the earnings of a company accumulated from, brought into, or got in Nigeria or any exchange or business for whatever timeframe the exchange or business may have been completed. The current rate of company’s income tax is 30% of assessable income.
The company income tax is imposed on;
1. The profits of Nigerian organizations independent of whether they have become tied up with or mitigated in Nigeria, being a Nigerian company consolidated under Companies and Allied Matters Act.
2. The profit of non-Nigeria organizations working in Nigeria. The non-Nigerian organizations are foreign organizations.
3. Dividends or premium of non-Nigerian organizations which are assessed at 10% (retaining tax rate) on the net is payable to the individual organizations
Below are the deadlines for filing CIT returns:
- Recently consolidated companies are expected to file their CIT within eighteen months from the date of incorporation or not more than 6 months after the finish of an accounting year.
- Organizations in activity for more than four (4) years are obligated to minimum tax excluding those explicitly absolved by the tax law.
Taxaide Professional Services Ltd (Taxaide) deploys different tools to help taxpayers and administrators pursue streamlined, discreet, transparent, and efficient tax functions that skilfully addresses tax management and administration issues. This leaves room for efforts to be directed at more strategic concerns. Our tax management framework explores several dimensions to ensure every tax decision results in value creation in as many possible ways.
We work with the organisational model, policies, processes, and technologies that are available; we are that dynamic. We explore, assess, prioritize, and implement improvement opportunities; we are that objective. At the end, we always arrive at process efficiency, cost /time saving and more effective resource allocation, generally. With us, your benefits include having additional time on your hands for greater value creation. We take care of the tax-related headaches that would not have allowed the sustainable health of your economic unit.
For more enquiries, please contact: 0700TAXAIDE
