IRS Generates Taxpayers Numbers for Bank Customers

The Federal Inland Revenue Service is on the verge of completion of generating Taxpayer Identification Numbers, TIN for all corporate bank account customersalt. This is contained in the Monthly Report of the FIRS for the month of May 2009, released recently. 
Banks are expected to furnish FIRS with the list of their individual bank account owners who are residents of the Federal Capital Territory , FCT, in addition to the list of their corporate customers. FIRS collects Personal income tax for residents of the FCT and members of the armed forces and the police.

In the same vein, banks may be disabled from the FIRS Pay Direct portal if they fail to supply FIRS with a list of their corporate customers to enable the Service generate TIN for the remainder of all their customers.
Tax Identification Number, TIN is unique number, generated electronically as part of the registration process and assigned to a taxpayer: company, enterprise or individual for identification. The unique number eases tracking of taxpayers and access to their tax history and records. 
Banks are expected to submit the list of their corporate customers to enable the agency generate TIN for all such taxpayers.
The TIN number is a prerequisite for banks for upload of tax payments on the Interswitch platform, for sweeping (clearance of such payments) into Lead banks and into the Central Bank of Nigeria, CBN.
TIN is a prerequisite for transacting business with government agencies. Banks are to request for TIN when opening new accounts for current account holders or when customers are transacting business on such accounts. 
TIN shall be required from each taxpayer when payments for the following taxes are being made to Collecting Banks: Petroleum Profit Tax, PPT, Companies Income Tax, CIT, Capital Gains Tax, Education Tax, Value Added Tax, VAT, Withholding on corporate bodies, Stamp Duties for companies, National Information Technology Development Fund Levy and Personal Income Tax.
FIRS Executive Chairman, Mrs. Ifueko Omoigui Okauru, explained in a recent presentation that without a clear knowledge of the taxpayers and their profiles, it will be difficult to have any articulate plan or strategy for effective tax administration. “This would be further enhanced with the institutionalisation of the unique taxpayer identification system as is practiced in other developed tax jurisdictions. The FIRS Act empowers the FIRS to collaborate with States and Local Governments to make this happen”. 
“With TIN, every taxpayer would be assigned a unique identification number which should be inserted in every documented transaction (sales, purchases, payment of bills etc). This will enable tracking for tax purposes as is the practice in several tax jurisdictions, where tax number is used on driving licenses, passports and other personal documentation.
Along with the new FIRS online payment system, TIN is one of the fall outs of the processes for the automation of the FIRS tax collection system. 
Another was Project FACT, which eliminated the payment of cash or cheques by taxpayers and use of cheques at tax offices. 
The Integrated Tax Administration System, ITAS is expected to consolidate all automation processes and projects and ease overall tax administration by the FIRS. 
“Given the fact that some state governments and FIRS are currently issuing their own TIN, the Joint Tax Board is working to institutionalise U-TIN as a unique number nationwide, to be part of every documented transaction. This is the standard practice in other developed tax jurisdictions”, the FIRS monthly report for May 2009 said

naija sport news