The Federal Inland Revenue Service (FIRS) has declared a partial
tax amnesty commencing from today 5 October 2016. The amnesty will
run for the next 45 days and will cover full waiver of penalty and
interest on tax liabilities for 2013 to 2015.
To take advantage of the window, a taxpayer is required to apply
to the FIRS and must commit to an immediate payment of at least 25%
of the tax due while the balance may be paid subsequently in
instalments.
It is not clear whether the period referred to is accounting or
tax years and whether taxpayers who are already undergoing audit
for the specified period can opt in. In addition, taxpayers will be
keen to know what will happen in case they have exposures for
periods before 2013 given that the statute of limitation, where
applicable, is up to 6 years.
