FIRS set to use e-Storages to pull taxable persons, firms into tax net
Federal Inland Revenue Service (FIRS) will soon begin to access computers and electronic storages belonging to taxable individuals through its Automated Tax Administration Solution, according to the executive chairman of FIRS, Muhammad Nami.
Nami in a signed advertorial said the new directive is in line with Section 25(4) of the Federal Inland Revenue Service Establishment Act 2007 as amended by section 51 of Finance Act 2019.
The new action is expected to start by May 1, 2021.
It said: “The Federal Inland Revenue Service (the FIRS) shall, not earlier than 30 days from the date of publication of this notice, begin to connect its Automated Tax Administration System to access, for tax purposes, relevant records, data or information stored or otherwise residing in computers or other electronic devices (including cloud computing facilities) maintained, operated, controlled or owned by relevant persons or their agents.”
The service will connect at the relevant point of sales (POS) or invoicing platforms of all taxable individuals and firms who are ‘required to grant FIRS access to all computers, electronic devices or cloud computing facilities wherein records, data or information are stored or otherwise residing (Section 26, FIRS Act).’
FIRS then urged persons of interest to grant FIRS access to such platforms and failure of which would attract penalties as prescribed in Section 26(3) of the FIRS Establishment Act.
