The Federal Executive Council (FEC) has proposed significant amendments to the National Identity Management Commission Act No. 23 of 2007, which would allow foreigners residing in Nigeria to be issued National Identification Numbers (NIN).
This initiative aims to enhance tax administration and expand the scope of registrable individuals to include foreign nationals with taxable presence or sources of income in Nigeria.
During a briefing at the Aso Rock Villa on Wednesday, Special Adviser to the President on Information and Strategy, Bayo Onanuga, outlined the key points of the proposed legislation. The amendments would introduce a new provision to Section 16, stating, “Any person, whether or not a citizen of Nigeria, who is deemed to be resident or otherwise subject to tax in Nigeria under any legislation in force in Nigeria.” If enacted, this bill would enable the taxation of expatriates and income-earning immigrants.
Onanuga emphasized that the new law would mandate the registration of all individuals living in Nigeria, including foreigners. “Once you are working here and earning income, you will be registered and given an NIN, which will serve as your tax identity,” he explained. This change addresses a gap in the existing law, which currently excludes foreigners from registration.
Additionally, the FEC announced a proposal for the Economy Stabilisation Bill, aimed at implementing taxes for foreign residents. The proposed legislation would require the mandatory use of the NIN for transactions related to tax administration.
Onanuga also introduced a third bill to amend the Nigerian Maritime Administration and Safety Agency Act No. 17 of 2007, which would allow fees and charges to be paid in Naira rather than in dollars.
This amendment to Section 15 includes a new subsection stating that all fees, charges, levies, fines, and other payments to the Agency may now be settled in Naira at the applicable official exchange rate.
“This government aims to reduce dollarization in our economy and emphasize the use of our national currency,” Onanuga stated.
These legislative changes represent a push towards integrating foreign residents into Nigeria’s tax system while promoting the use of the Naira in economic transactions.
