Sequel to the directive from the Federal Government for account holders in the nation’s financial institution to obtain complete and submit self- certification forms from their financial institutions, the Federal Inland Revenue Service has clarified the directive after numerous Nigerian’s took to social media to express their displeasure.
Excerpts from the FIRS twitter handle: “This is to clarify that the publication for financial institutions account holders in Nigeria to complete the self-certification form, pursuant to the Income Tax (Common Reporting Standard) Regulations 2019 which is for the fulfilment of Automatic Exchange of Information Requirements.
”The Self Certification form is basically to be administered on Reportable persons holding accounts in Financial institutions that are regarded as Reportable Financial Institutions under the CRS. Reportable persons are often non-residents and other persons who have residence for tax purposes in more than one jurisdiction or country. Financial institutions are expected to administer the Self Certification form on such account holders when information at its disposal indicates that the Account holder is a person resident for tax purpose in more than one jurisdiction”
”The information that indicates an account holder is a resident for tax purposes in more than one jurisdiction, is expected to be available to Financial institutions during account opening processes for the KYC and AML purpose”
“The ultimate objective of the Automation Exchange Information is to improve transparency in Nigeria’s tax system and boost the anti-corruption drive of the Government”
In terms of the Self- Certification form, the FIRS stipulated that the forms are to be administered by Financial Institutions to enable account holders clearly document their respective jurisdiction of tax residence. To this end, Financial Institutions have been adequately sensitized on the process.
Furthermore, it stated that the process will be seamless given the fact that the forms are available for download on the FIRS website. In addition, Financial Institutions are expected to provide email addresses or electronic portals for the customers to upload their completed forms.
Meanwhile, the Federal Government has apologized to Nigerians for the misleading information, now deleted, it sent out yesterday via its official Twitter handle.