FIRS rolls out e-invoicing for large taxpayers, targets full compliance by November

The Federal Inland Revenue Service (FIRS) has launched a nationwide electronic invoicing system (e-invoicing) to modernise tax administration, enhance revenue assurance, and curb tax evasion. The platform, also known as the Merchant-Buyer Model, went live on 1 August after a pilot phase that began in November 2024.

The rollout targets large taxpayers—companies with annual turnover of N5 billion and above—as the first phase of implementation. In less than two weeks of operation, about 1,000 firms, representing 20 per cent of the over 5,000 eligible companies, have begun integrating with the FIRS platform.

The remaining large taxpayers are expected to complete onboarding by 1 November 2025, following a three-month extension granted to accommodate operational challenges faced by some firms.

MTN Nigeria became the first company to transmit live e-invoices, while Huawei Nigeria and IHS Nigeria have completed test transmissions and are set to go live in the coming days.

The FIRS is working with the National Information Technology Development Agency (NITDA) and accredited service providers who serve as system integrators and access point providers to facilitate integration, onboarding, and invoice transmissions.

The e-invoicing system is part of the Electronic Fiscal System (EFS) developed to provide real-time visibility into commercial transactions, ensure invoice authenticity, and create a single source of truth for government revenues in line with the Nigeria Revenue Services Reform Act.

The phased rollout will extend to medium and emerging taxpayers in the coming months, aligning with global best practices to strengthen compliance and modernise Nigeria’s tax system.