Introduction

As we approach the annual Personal Income Tax (PIT) returns filing season, it’s crucial to remember the deadline of March 31, 2024, as mandated by Section 41 of the Personal Income Tax Act, 2011. This guide provides all the necessary information to ensure compliance and avoid potential penalties.

Understanding PIT Returns Filing

Filing your PIT returns involves meticulously documenting all income accrued in the previous calendar year, covering the period from January 1, 2023, to December 31, 2023. This filing should be directed to the State Internal Revenue Service (SIRS) corresponding to your residence.

Deadline for 2023 PIT Returns

According to Section 41(3) of PITA, the deadline for filing is March 31, 2024. This means you must comply within ninety (90) days from the start of the year.

Who is Required to File?

While the law requires everyone to file their PIT returns, the SIRS mandates that the following categories of individuals must file:

1. High Net-Worth Individuals (HNIs):
   • The SIRS typically writes to these individuals, requiring them to file their PIT returns.
   • It is no defense for anyone to claim that their details were part of their employer’s PAYE returns and thus exempt from filing. If you receive a letter from the SIRS, you are required to file your PIT returns.
2. Individuals with Additional Income Sources:
   • This includes those earning income outside of their employment, such as directors’ fees, rental income, dividends, and interest.
   • Anyone in this category must separately file their PIT returns, declaring the total income earned during the period.
3. Self-Employed Persons:
   • This pertains to individuals who are not employed by others but run their own businesses.

How to File

While the IRS of most states requires physical submission of PIT returns, some states have automated the process. States such as Lagos, Rivers, Anambra, Imo, Enugu, Bayelsa, Kogi, Osun, Cross River, Kwara, and Ogun have adopted electronic filing methods. Note that you will need a Taxpayer Identification Number (Payer ID) to access these services in Lagos, Rivers, Anambra, Imo, Enugu, and Ogun states.

How Can We Help?

At InnerKonsult, we manage the tax affairs of individuals who need private management of their PIT accounts and compliance with relevant tax authorities. This includes entrepreneurs, C-suite executives, expatriates, and others. We provide personalized advice and assistance to these taxpayers

We provide personalized advice and assistance to taxpayers, ensuring their compliance with tax regulations and facilitating their engagements with tax authorities. Additionally, we support clients with dual or multiple tax residencies—those who maintain tax residence in Nigeria and other jurisdictions—by managing their Nigerian tax obligations and maximizing the tax rebate options available to them by law. Our core objective is to help our clients sustainably minimize their tax liabilities while maintaining optimal compliance.

For professional advice on Accountancy, Transfer Pricing, Tax, Assurance, Outsourcing, online accounting support, Company Registration, and CAC matters, please contact Inner Konsult Ltd at www.innerkonsult.com at Lagos, Ogun state Nigeria offices, or www.sunmoladavid.com. You can also reach us via WhatsApp at +2348038460036.