← The Act in plain English

Nigeria Tax Administration Act, 2025 · s.104, s.23

The fiscalisation system

Taxable supplies must go through the VAT fiscalisation system: ₦200,000 plus 100% of the tax and interest if they do not.

Who this lands on: VAT-registered businesses once the system applies to them.

The Act provides for a value added tax fiscalisation system (s.23) for taxable supplies.

A taxable person who does not process a taxable supply through it is charged ₦200,000, plus 100% of the tax due, plus interest at the Central Bank of Nigeria monetary policy rate a year.

Clean, complete invoicing records are what make this straightforward when it reaches you.

What to do with this

Also in What it costs when it slips

This is a plain reading of the Act for orientation, not tax advice. Where money is at stake, check the section itself or ask an accredited tax agent.