FIRS Announces Effective Date For Finance Act 2023

In a recent update, the Federal Inland Revenue Service ("FIRS") officially communicated the revised effective date for the implementation of the Finance Act 2023 ( "the Act"). This update by the FIRS follows the deferment of the commencement of the Act by the Finance Act (Effective Date Variation Order) 2023. The Act, which was enacted on 28 May 2023 with an initial effective date of 1 May 2023, takes effect from 1 September 2023 as stated in the Effective Date Variation Order.

Significant amendments that will be implemented from 1 September 2023 include:

1. Withholding and Collection of Value Added Tax ("VAT")
   Persons appointed to withhold or collect VAT are required to remit VAT withheld or collected to the FIRS on or before the 14^th day of the month following the month in which the VAT was withheld or collected. According to the FIRS, VAT withheld or collected in August 2023 by the appointed persons should be remitted no later than 14 September 2023.