The FIRS has begun to enforce compliance with Nigeria'sCountry-by-Country Reporting(CbCR) Regulations.
Members of multinational groups that meet the CbCR threshold have an obligation to notify the FIRS of the identity and tax residence of the member of the group responsible for making the CbCR disclosure on behalf of the group.
Notification is due before the last day of the group's accounting year-end for which the CbCR relates. For taxpayers with 31 December group reporting date, the first deadline for filing the notification was 31 December 2018. The penalty for failing to file the notification is ₦5 million in the first instance and ₦10,000 for every day of default.
A number of companies have received letters from the FIRS imposing the above penalties for failureto comply with the regulations as required.
Taxpayers who are yet to comply are advised to do so immediately to minimise further exposure to the daily penalties.
You can read our publications on the CbCR Regulations here.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.