Tuesday, 21 January 2020

Bank Accounts: Keep it unfrozen by getting your TIN before 31st January 2020



Do you have a TIN?

Do you know your TIN?



Everyone should have a TIN, now if you run a registered business, you probably already have yours.

What is a ‘TIN number’?

According to journals.org, the Taxpayer Identification Number (TIN) is a unique number allocated and issued to identify a person (individual or Company) as a duly registered taxpayer in Nigeria. Everyone who pays tax is legally required to register for a TIN number.

According to one financial website proshare.com, the Finance Bill currently passed by NASS amends sections 33, 49 & 58 of the Personal Income Tax Act. The listed amendments cover deductions on Pensions and remove requirements for the award of some personal relief. Precisely, the above-listed amendments address the deletion of grants for definite individual reliefs and also the deductibility of Pension contributions.

The amendment of the PITA that the public is interested in is the fact that hereafter individuals would be required to produce their Tax Identification Numbers (TINs) before they can operate new or existing bank accounts in Nigeria.

Without the TIN number, your bank account gets frozen. If your bank account is frozen, you are automatically stuck wherever you are. I mean, zero movements.
Tax Identification Number (TIN) is an essential document in every individual or business person's life.

Three steps to apply for a TIN number

Fill out the TIN application form.
You will need the following:
A business registration number
Certificate of Incorporation.

The requirements for the Tax Identification Number in Nigeria:

When filling the forms, follow these instructions to the letter:

The address should have about 200 characters.
Provide your 11 digit phone number
Provide an active email address
Ensure you fill the entire field marked with an asterisk in the TIN application form

Every Nigerian must have a TIN number. It used to be that you only needed a TIN number if your firm receives income and profit. The laws changed. Now even if you are a housewife, you must have a TIN number. You can ignore only if you are uninterested in running your bank account.

To check if you are compliant, use the web address below to validate your TIN.

Validate your TIN on


Of course, I tried validating mine and it did not work, so it is to locate a physical office and go and sort this out before January 31st, 2020.

The five most important points to take away from this article are:
1. TIN Registration is Free. No one should compel you to pay for it.
2. TIN is a requirement of every taxable individual in Nigeria. A taxable individual is anyone that earns an income and/or is paid an income by any organization irrespective of age. This includes foreigners working in Nigeria as well
3. TIN doesn't take away your tax relief or exemptions. It is just a confirmation of the registration of the individual for tax purposes.
4. TIN is now a statutory requirement for the opening, maintenance, and operation of bank accounts in Nigeria.
5.    Get your TIN number and validate it on the FIRS website.

OTHER REASONS YOU NEED A TIN NUMBER

  • You need it to apply for a government loan.
  • You need it to open a business account.
  • You need it to import, export or obtain a trade license.
  • You need it to get a tax clearance, allowance, a waiver or an incentive.
  • If you want to move your capital to a foreign country, you must have a TIN number





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