Table of Contents
- Tax ID Requirement for Bank Accounts
- Implementation Details
- Exemptions
- Concerns Among Nigerians
- Historical Context
The federal government has announced that every taxable Nigerian must possess a Tax Identification Number (TIN) or Taxpayer Identification Number to operate bank accounts in the country, as new tax reforms will take effect on January 1, 2026.
The chairman of the Presidential Committee on Fiscal Policy and Tax Reforms in Nigeria, Taiwo Oyedele, shared this information in an interview posted on his X account on Thursday.
He clarified that Section 4 of the Nigerian Tax Administration Act, which will be enforced starting January 1, 2026, mandates that taxable individuals obtain a tax ID.
However, he noted that students and dependents are exempt from needing a tax ID to maintain a bank account.
Oyedele emphasized that this policy has been in effect since the Finance Act of 2020, but the NTAA establishes a legal framework for its enforcement.
He further stated that income earners, including businesses with existing TINs, will not be required to acquire a new tax ID.
“Yes, but with certain exemptions. A provision in the NTAA necessitates that a taxable individual register and obtain a tax ID.
“A taxable individual is defined as anyone who earns income through trade, business, or any economic activity. Therefore, banks must request a tax ID from these taxable individuals. This implies that those who do not earn an income, such as students and dependents, are not required to obtain a tax ID.
“Any taxable entity lacking a tax ID may face challenges in managing their bank account in the near future,” he stated during the interview.
This announcement comes amidst concerns from Nigerians regarding the potential restrictions on bank accounts that do not have a tax ID.
It is important to note that in June 2025, President Bola Ahmed signed this law, which will take effect in January 2026.
What is the new tax ID requirement for bank accounts?
Every taxable Nigerian must obtain a Tax Identification Number (TIN) to operate a bank account starting January 1, 2026.
Are there any exemptions to the tax ID requirement?
Yes, students and dependents are exempt from needing a tax ID to maintain a bank account.
What happens if someone does not have a tax ID?
Taxable entities without a tax ID may encounter difficulties in managing their bank accounts in the future.
Eze Chidiebere Paul
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