| Value Added Tax (VAT) | A 7.5% tax added to the price of most goods and services in Nigeria. A business collects it from customers and pays it over, less the VAT it paid on its own purchases. |
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| Output VAT | The VAT you charge your customers. |
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| Input VAT | The VAT your suppliers charge you. You can set it against your output VAT when the invoice meets the rules. |
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| Withholding Tax (WHT) | An advance payment of income tax. The payer deducts it from what it owes a supplier and pays it to the tax authority. |
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| WHT credit note | Proof that tax was withheld from you. It reduces your income tax bill. |
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| Company Income Tax (CIT) | The tax a company pays on its profit for the year. |
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| Personal Income Tax (PIT) | The tax an individual pays on income, including salary, business and freelance income. |
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| Pay As You Earn (PAYE) | PIT that an employer deducts from salaries each month. |
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| Tax Identification Number (TIN) | The number that identifies a taxpayer to the tax authorities. |
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| Tax Clearance Certificate (TCC) | A certificate showing your taxes are paid for the last three years. |
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| Nigeria Revenue Service (NRS) | The federal tax authority, formerly the Federal Inland Revenue Service (FIRS). |
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| State Internal Revenue Service (SIRS) | The tax authority of a state. It collects PIT from residents. LIRS is the one for Lagos. |
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| E-invoicing | Sending each invoice to the NRS platform in a set format for validation. |
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| System Integrator (SI) | A company accredited to connect a business's software to the NRS e-invoicing platform. |
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| Access Point Provider (APP) | A company accredited to transmit e-invoices to the NRS platform on behalf of businesses. |
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| Reconciliation | Checking that two records of the same money or stock agree, and explaining any difference. |
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| IFRS | International Financial Reporting Standards, the accounting rules Nigerian companies report under. |
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