Filing of 2021 Employer's Pay-As-You-Earn Tax Returns is Due Jan 31 2022

Wednesday, January05, 2022 / 06:50 PM / by Wole Obayomi / Header Image Credit: Medium

The annual Employer's Pay-As-You-Earn (PAYE) taxreturns for 2021 is due on 31 January 2022. The Returns, whichshow each employees' emolument and taxes paid in the preceding year, are to befiled with the relevant State Board of Internal Revenue Services (SBIRS) wherethe employees were resident (and with the Federal Capital Territory InternalRevenue Service for employees that were resident in Abuja) in 2021.

Some of the relevant information/ documents requiredfor the purpose of filing the Returns include:

Annual payroll of employees, showing the gross income earned and tax paid foreach employee for 2021 tax year.
Evidenceof PAYE tax remittance to the relevant SBIRS (i.e. copies of the employees'PAYE tax receipts for the year).
Dulycompleted e-TCC application form (for fresh applicants only), signed by theemployees with passport photographs affixed. The Company's stamp must beaffixed to the bottom page of the forms. A separate schedule should be preparedfor e-TCC renewals. This requirement may however, defer depending on the SBIRS.
Acknowledged copies of expatriate quota and monthly expatriate immigration returnssubmitted to the Nigeria Immigration Service (if applicable).
Information on the nature of permits used by expatriates for their Nigerianemployment in 2021 tax year (e.g., Temporary Work Permit or Combined ExpatriateResidence Permit and Alien Card).
A copy ofprojected annual payroll for 2022, stamped and signed by an authorizedpersonnel of the company.
Evidenceof payment of development levy for all employees for 2021 tax year.
BusinessPremises Levy: evidence of payment of annual renewal levy (or registration feefor first time payment) for 2021 tax year.
Currentutility bill of the business (e.g. PHCN Bill, Land Use Charge, etc.). This requirement may defer depending on the SBIRS.

Please visit the web portals of the relevant SBIRsthat permit e-filing of annual returns to verify the required documents andmake preparations for physical filing at SBIRS offices where e-filing isunavailable.

Failure by an employer to file the Returns within thestatutory timeline attracts a fine of â‚¦500,000 and â‚¦50,000upon conviction, for corporate entities and individuals, respectively.Taxpayers are therefore urged to ensure the Returns are filed promptly to avoidpenalties.

Credits

* Thisstatement was first published in the Issue 1.3/ January 2022 Newsletter of KPMGof Wednesday January 05, 2022. For further enquiries, please contact the author,Wole Obayomi via [email protected]