Starting January 1, 2026, Nigerians and non-residents will need a Tax Identification Number (Tax ID) to open or operate bank accounts, under a sweeping new law signed by President Bola Tinubu.
The Nigeria Tax Administration Act, 2025, makes the Tax ID compulsory not just for banking but also for insurance, stockbroking, government contracts, and other financial services.
Non-residents who earn income in Nigeria or supply taxable goods and services will also be required to register for a Tax ID. To tighten enforcement, the law empowers tax authorities to assign IDs to anyone who fails to register, and to suspend or cancel IDs for businesses that shut down without proper notice.
Officials say the measure is designed to widen the tax net and shore up government revenue. Analysts predict it could sharply boost compliance rates nationwide.
Banks and other financial institutions now face a race to update their systems before the January 2026 deadline.
