Regulatory updates - Nigeria

NRS’ Electronic Fiscal System, also known as the Merchant Buyer Solution (MBS), officially went live on August 1, 2025, for large taxpayers, with the effective implementation extended to November 1, 2025, due to operational and transitional challenges faced by businesses while attempting to comply within the original timeline. 

Following a successful onboarding of the majority of large taxpayers to the MBS platform, the NRS has announced the continuation of the e-invoicing phased rollout to other taxpayers. The phased implementation will follow five stages for each taxpayer segment: 

• Stakeholder engagement 

• Pilot rollout, 

• Go-live 

• Post go-live review  

• Compliance enforcement 

Each implementation phase will be guided by defined timelines and taxpayer annual turnover thresholds. The implementation timeline is structured as follows:  

a) Large Taxpayers:with an annual turnover of NGN 5 billion (ca. EUR 3 million) or more 

• Already completed stakeholder engagement, pilot rollout, and go-live phases  

• January- March 2026: post go-live review  

• April – June 2026: compliance enforcement  

b) Medium Taxpayers:with an annual turnover between NGN 1 billion – NGN 5 billion (ca. EUR 631. 800 - 3 million)   

• January - March 2026: Stakeholder engagement  

• April – June 2026: pilot phase rollout 

• July 1, 2026: go-live date 

• October - November 2026: post go-live review 

• January – March 2027: compliance enforcement  

c) Emerging Taxpayers:with an annual turnover of less than NGN 1 billion (ca. EUR 631. 800)   

• January – March 2027: stakeholder engagement  

• April – June 2027: pilot phase rollout  

• July 1, 2027: go-live date 

• October – November 2027: post go-live review 

• January – March 2028: compliance enforcement 

The above timelines are guidelines only and are subject to change based on operational readiness and feedback received from stakeholders.  

On September 26, 2025, the OpenPeppol website was updated, listing FIRS as one of the newest Peppol Authorities, a big milestone in Nigeria’s e-invoicing journey, and joining other listed countries such as Taiwan, Japan, Malaysia and Australia.  

FIRS lists Peppol standards among the standards adopted by the country’s e-invoicing system, to facilitate smooth and reliable exchange of e-invoices in cross-border transactions. By adopting Peppol, Nigeria also aims to boost its competitiveness in international trade by aligning with internationally recognized standards, creating better-connected business operations across borders.    

With the support of the Standards Organisation of Nigeria (SON), Nigeria’s Tax ID is now registered under the ISO/IEC 6523 International Coding System. Having internationally recognized Tax IDs is expected to simplify taxpayer verification and visibility in cross-border transactions and unify Tax IDs across the Nigerian federal and state levels. 

On August 11, 2025, FIRS issued a press release announcing a three-month extension of the e-invoicing deadline for large taxpayers with an annual turnover of ₦5 billion (ca. EUR 2.7 million) or more.

The Electronic Fiscal System (EFS) successfully launched on August 1, 2025. While the initial compliance deadline for large taxpayers was set for the same date, FIRS has now granted a three-month extension. This additional time allows affected taxpayers to onboard properly and fully integrate with the EFS — ensuring a smoother transition to the new compliance requirements.

FIRS granted this extension in recognition of taxpayers’ genuine efforts to meet the initial compliance deadline and encourage voluntary compliance. FIRS announced that the decision acknowledges the operational constraints many businesses encountered while attempting to comply within the original timeline.

The e-invoicing mandate is being rolled out in phases, starting with large taxpayers, followed by an extension to medium and smaller taxpayers.