It is now 5 working days to the expiration of the 31 August 2022 extended deadline for filing Companies Income Tax (CIT) returns and payment of the related tax liabilities by companies whose returns were originally due for filing by 30 June 2022. 

The extended deadline was announced via the Federal Inland Revenue Service (FIRS)’ public notice published in our Tax Alert: Issue No. 7.1 of July 2022.  Eligible companies have until Wednesday, 31 August 2022 to submit their CIT returns on TaxPro-Max and pay the resulting tax liabilities to avoid the imposition of late filing and payment penalties and interest, respectively. 

Failure to file CIT returns by the due date attracts a late filing penalty of ₦25,000 for the first month of default and ₦5,000 for every subsequent month. Also, failure to pay CIT liabilities as and when due attracts a penalty of 10% of the tax due and interest at the prevailing Central Bank of Nigeria Monetary Policy Rate plus a spread of 5%. 

Credits

* This statement was first published in the Issue 8.2/ August 2022 Newsletter of KPMG of Wednesday August 24, 2022. For further enquiries, please contact the author, Wole Obayomi via [email protected]