Doyenture Services

23/01/2026

PAYE (Pay-As-You-Earn) is a form of withholding tax system.

Under PAYE, tax is withheld at source by the employer from an employee’s salary before the salary is paid. The employer then remits this tax to the relevant tax authority on behalf of the employee.

Why PAYE is considered a withholding tax

Deducted at source: Tax is taken from income before the employee receives it.

Collected by a third party: The employer withholds and pays it to government

Final tax on employment income: For most employees, PAYE settles their income tax obligation

Context
PAYE applies to employment income (salaries, wages, bonuses, allowances)

It is governed by the Personal Income Tax Act (PITA) Now NTA

Employers remit PAYE to the State Internal Revenue Service (SIRS) of the employee’s state of residence

Key distinction
PAYE → Withholding tax on employment income

Withholding Tax (WHT) → Withheld on business transactions (rent, contracts, professional fees, etc.) and usually serves as an advance tax credit, not a final tax

In summary:
PAYE is a specific type of withholding tax, designed exclusively for salaries and wages.

06/01/2026

What the Tax law says

NTAA Section 31

Keep clear and complete records. Your books should tell the full story of your transactions for tax purposes.

06/01/2026

What the new tax law says:

Banks will submit your name and address to the Tax authority if your have a cumulative transaction of:

▪️ Individuals: ₦25m+ cumulative monthly transactions
▪️ Corporates: ₦100m+ cumulative monthly transactions

Be informed
Stay informed

05/01/2026

Company Description
Entry-Level Accountant for a Furniture Making Company
Location: Lagos Mainland, Nigeria (Full-time, On-site)
Reports to: Managing Director / Senior Accountant

About the Role:
We are a growing furniture making company looking for a motivated and detail-oriented Entry-Level Accountant to launch their career. This is a fantastic opportunity to gain hands-on experience in all aspects of corporate finance within a tangible, manufacturing environment. You will be instrumental in supporting our financial operations, from tracking material costs to helping prepare financial reports, under the guidance of experienced professionals.

Key Responsibilities:
Financial Processing: Assist with day-to-day bookkeeping, including processing accounts payable and receivable, recording expenses, and managing the general ledger.

Reconciliation: Perform monthly bank and account reconciliations to ensure accuracy and integrity of financial data.

Record Keeping: Maintain organized and accurate digital and physical financial records for all transactions.

Reporting Support: Help in the preparation of monthly financial reports, variance analyses, and management accounts.

Compliance Assistance: Support compliance activities, including the preparation of documents for VAT, WHT, and annual tax filings.

Cost Tracking: Help monitor and record production costs, material inventory, and job costs specific to our furniture manufacturing.

Audit Support: Provide crucial support during internal and external audit processes by preparing requested schedules and documentation.

Qualifications & Skills:
Bachelor’s degree in Accounting (recent graduates are encouraged to apply).
Required: Completion of a mandatory accounting internship or NYSC placement with relevant finance/accounting duties.
Strong foundational knowledge of bookkeeping, general ledger principles, and financial reporting.
High proficiency in Microsoft Excel (PivotTables, VLOOKUPs) and a keen interest in learning accounting software (e.g., QuickBooks, Sage).
Eagerness to learn Nigerian tax regulations and compliance requirements.
Exceptional attention to detail, organizational skills, and a commitment to meeting deadlines.
Excellent communication skills and a willingness to ask questions and learn.
A strong plus: Actively pursuing a professional accounting certification (e.g., ACCA, ICAN).

What We Offer:
A supportive, hands-on training environment where you can build a solid foundation for your accounting career. Direct mentorship and the opportunity to see the direct impact of your work in a creative, manufacturing business.

How to Apply:
Please submit your resume and a cover letter detailing your relevant experience and why you are a great fit for our furniture making company to [email protected]

12/12/2025

New Tax Era: Joint Revenue Board Says Every Nigerian Will Get a Tax ID Automatically, No Worries

The Joint Revenue Board (JRB) reiterates that there will be no restrictions on bank accounts or financial transactions effective 1st January 2026 due to the non availability of Tax IDs.

Also, the public should note that no deductions will be made from any bank account on the basis of having a Tax ID or not.

The JRB assures Nigerians that Tax ID will be automatically issued to every taxable person using NIN for individuals, and CAC registration number for businesses.

Once again, there is no cause for panic as measures are being taken to ensure a seamless retrieval of Tax ID.

Signed:
Corporate Communications Department
Joint Revenue Board.
12/12/2025

We implement and train on sage 50(peachtree) Quickbooks Accounting software Advance excel (Pivot ta

27/11/2025

Withholding (VAT WVAT) (or VAT at Source) is a tax collection mechanism where the customer (the person paying for goods or services) is legally required to deduct the VAT amount from their payment to the supplier and pay it directly to the tax authority on behalf of the supplier.

In a normal transaction:

Supplier charges VAT -> Supplier pays it to the tax authority.

In a Withholding VAT transaction:

Supplier charges VAT -> Customer pays the VAT to the tax authority.

Who Are the Typical "Withholding Agents"?
The law designates specific entities to perform this role. As per the text you shared, these typically include:

All Government Agencies: Federal, State, and Local Government Ministries, Departments, and Agencies (MDAs).

Certain High-Volume Businesses: Companies in specific sectors like Oil & Gas, Telecommunications, Banking, and Manufacturing, as formally appointed by the tax authority.

If you make a taxable supplies to an approved agencies and charge VAT, the agency will remove the VAT amount and remit on your behalf to NRS.

Your responsibility is to ensure the WVAT is remitted to the service.

Key Takeaways
It's Not a New Tax: Withholding VAT is not an additional tax but only shift the remittance burden from the supplier to the customer.

Proof is Crucial: The supplier must receive official documentation (a credit note) from the customer (but now available on tax pro max) to be able to claim the credit and avoid double taxation.

In essence, Withholding VAT is a powerful anti-tax evasion tool that uses customers as watchdogs and collection points to ensure the government gets its due tax revenue.

05/11/2025

Update: New PAYE/PIT Computation Template is Here!

With the new Nigeria Tax Act coming into effect in January 2026, staying compliant is key. Our updated PAYE/PIT computation template is ready to help you to transit seamlessly.

Key Feature: The template includes a dedicated provision for the National Minimum Wage as tax-exempt, and it's easily adjustable for any future changes announced by the government.

Want a free excel file copy? Drop your email address in the comments below, and I'll send it directly to you!

26/10/2025

Your Company “Lives” in Nigeria? Let’s See If FIRS Agrees

Ever heard a company say,
“We only have clients in Nigeria, not an office here…”
FIRS smiles at that and replies,
“Hmm… let’s check where your heart — I mean, management — really lives.”

Under the Nigeria Tax Act 2025, a company is considered resident in Nigeria if it meets any of these three tests

Incorporation Test
If your company is incorporated in Nigeria under the Companies and Allied Matters Act (CAMA), you’re automatically resident.

Example:
AgroPro Nigeria Ltd, registered with CAC = Resident in Nigeria.
FIRS doesn’t need to ask questions — your certificate already speaks.

Management and Control Test
Even if you’re registered abroad, if your key decisions, board meetings, or daily control happen in Nigeria —
you’re resident here for tax.

Example:
TechWorld Ltd, incorporated in Ghana, but directors work from Lagos →
FIRS says, “Welcome home.”

Permanent Establishment (PE) Test
If your company has a branch, factory, construction site, or local agent in Nigeria that habitually secures contracts on your behalf —
you’re in too.

Example:
GlobalTech UK runs a branch in Abuja → that office is a permanent establishment →
Profits from it are taxable in Nigeria.

Residency isn’t just about where you’re registered — it’s also about where you’re really managed and controlled.

If your directors think, plan, and sign from Lagos…
then no matter what your registration says, FIRS considers you a Nigerian resident company.

In Simple Terms
“If your company acts Nigerian — it pays like a Nigerian.”

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23/10/2025

Who Really Lives Here (for Tax Purposes)? Understanding Tax Residency in Nigeria.

Let’s talk about relationships. No, not that kind. I’m talking about your relationship with the Nigerian tax authorities. Is it a casual fling, or a full-blown, "meet-the-parents" level of commitment?

The difference, much like in dating, often comes down to how much time you spend together and whether you've left a toothbrush at their place.

In the world of Nigerian tax, this "relationship status" is called Residency. And it’s the single most important factor that determines whether the Federal Inland Revenue Service (FIRS) is interested in your pocket money from around the globe, or just the cash you make on home soil.

So, let's define the relationship. How do you know if you're officially "resident" for tax purposes?

You need to pass just one of these three tests:
1. The Physical Presence Test (The "183-Day Rule")
Think of this as the "Are we spending every weekend together?" test.
If you are in Nigeria for 183 days or more (that's roughly six months) in any 12-month period, congratulations! You’re in a committed relationship. You are a tax resident.
The rule is simple: Once you hit that 183-day mark, you’re considered tax resident for that year. No ghosting allowed.

2. The Permanent Home Test (The "I Have a Toothbrush Here" Test)
This is for the frequent flyers. You might be jet-setting across the globe, but if you maintain a permanent home in Nigeria—a place that is yours and is available to you—you are likely considered a resident.

Example: You own a home in Abuja, but you travel to Ghana, Kenya, and South Africa for business every other week. That permanent home in Abuja is your tax "base." The FIRS sees that toothbrush in your holder and says, "Welcome home!"

3. The Government Service Test (The "Official Business" Test)
This one is straightforward. If you are a Nigerian official, diplomat, or public servant posted abroad, you remain a tax resident. For tax purposes, Nigerian embassies and missions abroad are considered part of Nigeria.
You're on official business, so your tax relationship with Nigeria remains strong, no matter where you are.

Let’s See It In Action
Meet Tunde: A Nigerian software developer living in Lagos. He works remotely for a U.S. tech firm and spends 10 months of the year in Nigeria.
Verdict: Resident. Tunde passes the Physical Presence Test with flying colours. He will be taxed on his worldwide income, including those sweet US dollars he earns.

Meet Sarah: A British consultant who flies into Lagos for two months each year to run training workshops for a local client.
Verdict: Non-Resident. Sarah's visits are short and temporary. She is only taxed on the income she derives from her work within Nigeria.

Watch out for Resident Company on our next post

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22/10/2025

Why Should a Nigerian Living in the foreign land Pay Tax on Income Earned from Nigeria?

The short answer:
Because tax follows the source of income — not just your location.

In other words, even if you’re physically in London, if the income originates from Nigeria, the Nigerian tax authorities have the right to tax it under the “source rule” in the Nigeria Tax Act 2025 (Section 3).

Here’s the logic behind it:
Tax is based on where income is earned, not only where you live.

Nigeria taxes income that is derived from or accruing in Nigeria, whether the recipient is a resident or not.

So, if your money is made from Nigeria, it’s taxable in Nigeria.

Example: You live in London but still earn rent from a property in Abuja or dividends from a Nigerian company — those earnings came from Nigeria, so they’re Nigerian-source income.

It’s not double taxation — there’s a relief system.
If the UK also taxes your global income (which it does for UK residents), Nigeria and the UK have a Double Taxation Agreement (DTA).

The DTA ensures you don’t pay full tax twice — you’ll get a tax credit or exemption in one country for tax already paid in the other.

FIRS isn’t taxing you for living abroad — only for earning from Nigeria.
If all your income is from your UK job or business, Nigeria has no claim on that.

But if some of your income streams (like rent, dividends, or consulting fees) originate in Nigeria, FIRS wants its share of that portion only.

In Simple Terms:
“You can live in London, but your money can’t hide in Lagos.”

Legal Backing:
Section 3 – Tax is imposed on income “accruing in or derived from Nigeria.”

Section 17(1) – Non-resident persons are chargeable to tax on income “accruing in or derived from Nigeria.”

Section 120–122 – Provide relief for double taxation agreements.

Bottom Line:
If you live abroad but your money still works in Nigeria, FIRS will tax the income, not your passport.

So, whether you’re in London, Dubai, or Canada — as long as your bank alerts say “credit from Nigeria,” the tax law says, “We see you.”