FIRS rolls out e-invoicing for large taxpayers, asks firms to complete integration by November 1

The Federal Inland Revenue Service (FIRS) has launched an electronic invoicing system to improve tax compliance and modernise revenue collection in Nigeria.

The FIRS said the solution is an electronic fiscal system (EFS) it developed to provide real-time visibility into commercial transactions and ensure invoices’ authenticity, accuracy, and completeness.

The platform, known as the merchant-buyer model (MBM), went live on August 1, after a pilot phase that began in November 2024, according to a statement on Sunday by Dare Adekanmbi, media aide to Zacch Adedeji, the FIRS chairman.

Adekanmbi said large taxpayers – companies with an annual turnover of N5 billion or more – were the first to be onboarded.

He said about 1,000 firms, representing 20 percent of the over 5,000 in the category, have commenced integration with the FIRS MBM platform.

“The remaining large taxpayers are expected to come on board on or before November 1, which is the deadline for all the firms in the category to finalise their onboarding and integration processes,” the statement reads.

“MTN Nigeria became the first taxpayer to transmit live electronic invoices to the FIRS, officially ushering in the e-invoicing regime.

“Huawei Nigeria and IHS Nigeria have also concluded test transmissions and are set to go live in the coming days.

“In collaboration with the National Information Technology Development Agency (NITDA), Service Providers have been incorporated into the ecosystem to act as System Integrators and Access Point Providers.

“These providers will facilitate taxpayers’ onboarding, integration, and invoice transmission processes.”

The FIRS was said to have commended all large taxpayers, tax consultants, and service providers for their cooperation and commitment to the success of the e-invoicing project.

“We also acknowledge the genuine efforts of many taxpayers who strove to meet the 1st of August 2025 deadline but encountered operational constraints,” the statement further reads.

“In the spirit of encouraging voluntary compliance, the FIRS management has graciously approved a three-month extension of the deadline, with the new deadline now set for 1st November 2025.”

The agency said the system aligns with global best practices and supports the federal government’s broader objectives of enhancing revenue assurance, reducing tax evasion, and modernising tax administration.

The FIRS described the innovation as “a critical tool in the implementation of the Nigeria Revenue Services Reform Act, which seeks to harmonise revenue”.

The organisation also said its e-invoicing implementation team will continue to provide support through stakeholder engagements, including webinars, workshops, and town hall meetings, to ensure a seamless transition for all large taxpayers.