Nigeria targets tax leakages with real-time VAT platform
- FIRS launched a real-time transaction monitoring portal for VAT oversight.
- The new system mandates integration from banks, fintechs, and payment service providers.
- FIRS can assess taxpayer thresholds and audit declarations against bank records.
The introduction of the Transaction Monitoring System by FIRS is a significant step towards modernizing Nigeria's tax administration. It reflects a proactive approach to enhancing compliance in a rapidly evolving digital economy. However, the success of this initiative will depend on the effective integration of financial institutions and the willingness of taxpayers to adapt to new processes.
