By: Okoi Obono-Obla
In these heady days of Information and Communication Technology—marked by smartphones, iPads, tablets, and social media platforms such as Facebook, WhatsApp, and X—every citizen has, in a sense, become a journalist. From the remotest corners of the globe, individuals can sit in the privacy of their homes and write short stories or generate news capable of going viral and reaching billions within seconds.
However, this digital empowerment has also given rise to purveyors of fake news and misinformation, who now possess the tools to spread falsehoods at an unprecedented scale and speed. This trend is prevalent across the world, and here in Nigeria, it is often deployed by individuals seeking to discredit the government for various reasons.
The recent enactment of the Nigeria Tax Administration Act, 2025—designed to reform tax administration and stimulate economic growth—has been met with some reservations, largely fueled by misinformation and misleading narratives about its implementation and impact.
One such story concerns the provision of a Tax Identification Number (TIN), which the Act requires for account holders. A false impression has been circulated that, starting from 2026, anyone wishing to open a bank account in Nigeria must already possess a TIN, and that existing account holders must obtain one to continue operating their accounts. This has caused unnecessary panic and apprehension among Nigerians.
However, a cursory reading of the relevant provisions of the Act reveals that this claim is unfounded. The Act does not impose such blanket requirements, and the misinformation appears to stem from a misinterpretation—or deliberate distortion—of its contents.
Therefore, I have taken it upon myself to explain what the Tax Identification Number (TIN) and the relevant provisions of the Tax Administration Act are all about, in order to give Nigerians a clearer understanding—rather than relying on false or distorted narratives peddled by purveyors of fake news seeking to mislead the public.
Section 7 of the Tax Administration Act provides as follows:
– Section 7(1): The relevant tax authority shall, upon receiving a request, register and issue a Tax Identification Number (TIN) to every taxable person.
– Section 7(2): Where a relevant tax authority refuses to register or issue a TIN upon request under subsection (1), it shall, within five working days of the decision, notify the applicant of the refusal and provide reasons.
– Section 7(3): The relevant tax authority may, based on available information, register and issue a TIN to any person who is required to apply for a TIN but fails to do so.
– Section 7(4): The relevant tax authority shall promptly notify any person registered and issued with a TIN under subsection (3) of the registration and the assigned TIN.
– Section 7(5): A taxable person who already has a valid TIN shall not apply for, or be issued, another TIN.
– Section 7(6): Any person who discovers that a taxable person possesses multiple TINs shall promptly report the matter to the relevant tax authority for unification.
– Section 7(7): A TIN issued to one taxable person is not transferable or usable by another taxable person.
– Section 7(8)(1)(a–c): A TIN shall be:
– (a) stated on any return, notice, correspondence, or document submitted, lodged, or used for tax compliance purposes;
– (b) stated on any document prepared, produced, issued, or submitted in respect of a transaction; and
– (c) a condition for entering into contracts with any federal or state ministry, department, agency, or local government.
– Section 7(8)(2): Any person engaged in banking, insurance, stockbroking, or other financial services in Nigeria shall ensure that every taxable person provides a valid TIN.
The pertinent question at this juncture is: what is the use of the TIN as contemplated by the Act?
Section 8(1)(a–c) of the Act provides the answer:
A Tax Identification Number shall be:
– (a) stated on any return, notice, correspondence, or document submitted, lodged, or used for the purposes of tax compliance;
– (b) stated on any document prepared, produced, issued, or submitted in respect of a transaction; and
– (c) a condition for entering into a contract with any federal or state ministry, department, agency, or local government.
From the above provisions—and a contextual reading of Section 7 and its subsections—it is glaringly evident that the concept of TIN is far removed from the misrepresentations being circulated by certain unscrupulous individuals. It is a structured and essential component of Nigeria’s tax compliance framework, not a tool for manipulation or misinformation.
In conclusion, the Tax Identification Number is a legal and administrative instrument designed to streamline tax compliance, enhance transparency, and ensure accountability. Nigerians are encouraged to seek accurate information and engage with the relevant authorities, rather than fall prey to sensationalism or deliberate falsehoods.
