Press Room

October 11, 2017

From Nigeria: LIRS Issues a Series of Public Notices in a Bid to Improve Tax Compliance

Olaleye Adebiyi - Andersen Tax LP in Nigeria, a member firm of Andersen Global


The Lagos State Internal Revenue Service (LIRS), in a bid to improve tax compliance and widen the tax net, recently released a series of Public Notices (Notices) interpreting certain provisions of the Personal Income Tax Act (PITA).

These Notices include the following:

  1. Pay As You Earn on Employee outsourcing arrangements;
  2. Tax relief on Voluntary Pensions Contributions;
  3. Taxation of Employee loan;
  4. What constitutes reasonable removal expense for the purpose of tax exemption.

The recent Notices from LIRS attempt to clarify certain grey areas of the law and provide interpretations to some provisions of PITA. It is, however, important to note that Notices are valid to the extent they comply with provisions of applicable laws.

Follow this link to read our analysis of the Public Notices.