Under the current FIRS framework, how is Capital Gains Tax applied to profits made from selling listed equities on the NGX versus unlisted securities — and how should a small business owner who also trades stocks separately file both their business income and investment gains under CITA and the Personal Income Tax Act to avoid double taxation?
Who Must File VAT You must file VAT if: You run a registered business (individual or company) You sell goods/services subject to VAT (7.5%) Even if: 👉 You made no sales, you must still file “NIL return” 2. What You Should Do Right Now (2024 & 2025 Backlog) Since you haven’t filed: 👉 You likely hRead more
Who Must File VAT
You must file VAT if:
You run a registered business (individual or company)
You sell goods/services subject to VAT (7.5%)
Even if: 👉 You made no sales, you must still file “NIL return”
2. What You Should Do Right Now (2024 & 2025 Backlog)
Since you haven’t filed:
👉 You likely have outstanding monthly VAT returns
For example:
2024 → 12 months
2025 → Jan till now
3. Step-by-Step: How to File VAT in Nigeria
You file through the tax authority:
👉 Federal Inland Revenue Service
Step 1: Get Your TIN
You need:
Tax Identification Number (TIN)
If you don’t have one:
Register via FIRS or CAC
Step 2: Access the Filing Portal
Use: 👉 TaxPro Max
This is the official system for VAT filing.
Step 3: Prepare Your Records
For each month, calculate:
Output VAT (what you charged customers)
7.5% of your sales
Input VAT (what you paid on purchases)
VAT on expenses
VAT Payable:
👉 Output VAT – Input VAT
Step 4: File Monthly Returns
On TaxPro Max:
Select month (e.g., Jan 2024)
Enter:
Sales
VAT collected
VAT paid
Submit return
Step 5: Pay (If Applicable)
If VAT is payable:
Generate payment reference
Pay via bank or online
4. Penalties You May Face
Since you didn’t file on time:
Late Filing Penalty:
₦50,000 (first month)
₦25,000 for each additional month
Late Payment:
Interest + penalties
5. What If You Didn’t Do Any Business?
Very important:
👉 You STILL must file
Just file:
NIL VAT return
This avoids penalties.
6. Best Practical Approach (Since You’re a Beginner)
Don’t try to fix everything blindly.
Option A (Recommended)
👉 Meet a tax consultant/accountant
They will:
Compute your backlog
File correctly
Reduce errors/penalties
Option B (Do It Yourself – Carefully)
Start with:
2025 (current year)
Then go back to 2024
7. Simple Example
If in January:
Sales = ₦500,000
VAT (7.5%) = ₦37,500
Expenses VAT = ₦10,000
👉 Pay: ₦37,500 – ₦10,000 = ₦27,500
8. Critical Advice (Don’t Ignore This)
Don’t guess figures
Don’t skip months
Don’t ignore penalties (they accumulate)
👉 The earlier you regularize, the cheaper it is.
Bottom Line
VAT is monthly, not yearly
You likely have multiple unfiled months
Use TaxPro Max to file
Consider a professional to clean it up
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