This Act, cited as the Nigeria Revenue Service (Establishment) Act, 2025, repeals the Federal Inland Revenue Service (Establishment) Act, No. 13, 2007. Its objective is to provide a legal, institutional, and regulatory framework for the administration of taxes and revenues accruing to the Government of the Federation. The Act establishes the Nigeria Revenue Service (“the Service”) as a body corporate with perpetual succession and a common seal, capable of suing and being sued.
Key aspects of the Service and its administration include:
* **Functions of the Service:** To assess persons chargeable with tax, collect or recover tax and remit it to designated accounts, account for all revenue accruing to the Government, and enforce payment of taxes. The Service can also assist States, the Federal Capital Territory, or Local Governments in tax collection and administration upon request.
* **Governing Board:** A Governing Board is established for the Service to provide general policy guidelines, evaluate policy implementation, and review and approve strategic plans. The Board comprises an Executive Chairman (who serves as the Chairman of the Board) and various ex-officio members, as well as up to six appointed members representing each of the geopolitical zones.
* **Funding:** The Service’s fund consists of 4% of the total revenue collected by the Service (less petroleum royalty), which the National Assembly appropriates for capital and recurrent expenditures, as well as grants, gifts, and other moneys.
* **Exemptions and Confidentiality:** The Service is exempt from all income taxes under any Nigerian law, but this does not relieve it from the statutory obligation to deduct and remit taxes. All internal information and documents of the Service are confidential.
The Act also contains savings and transitional provisions, transferring the powers, rights, functions, obligations, assets, and liabilities of the former Federal Inland Revenue Service to the newly established Nigeria Revenue Service.