TAX SERVICES

In September 2024, optimism surged when Taiwo Oyedele, Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, announced plans to eliminate Value Added Tax (VAT) on public transportation. The news was widely welcomed—not only by everyday commuters, but also by advocates of tax justice and economic equity. The proposed VAT exemptions were expansive, covering not just transport but also essential items such as unprocessed and semi-processed foods, bread, rent, education, and healthcare. However, for Nigeria’s road transport workers, the financial burden may simply take a different shape. For years, the National Union of Road Transport Workers (NURTW)—commonly known as “the union”—has operated with considerable autonomy, imposing a variety of levies on drivers. Depending on the route and location, these charges can range from as little as ₦100 to as much as ₦3,000—or in extreme cases, even ₦20,000 per day. Informally referred to as “union tax,” these fees are often passed on to passengers, thereby undermining the very affordability that the VAT exemption seeks to promote. This creates a troubling cycle: passengers continue to pay inflated fares, while commercial drivers see their daily earnings eroded. Speaking at the BusinessDay Tax Reforms Conference on April 22, 2025, Taiwo Oyedele acknowledged the issue head-on. “We are also mindful of these informal taxes by state actors,” he said. “That process is still ongoing. It’s not something one level of government can resolve alone. We are engaging local governments, state governments, and the federal government as well.” His remarks underscore a crucial challenge: despite the progressive nature of the tax reform bill, it remains unlikely to dismantle the entrenched system of informal levies imposed by transport unions and local authorities. Oyedele also emphasized the need to rethink how taxation affects low-income earners and small-scale operators. He envisioned a more intelligent, accountable tax system—one that targets actual profits rather than mere visibility or activity. Using a relatable example, he posed a question: “Let’s say I run a logistics business with motorbikes—why are the bikes being stopped on the road and taxed? This is a business. Let me make my deliveries, calculate my profits, and then pay income tax accordingly.” His argument highlights a deeper flaw in current practices: taxing activity without considering actual income or profitability. This concern is shared by many in Nigeria’s informal economy, where visibility often attracts taxation more readily than verifiable earnings. In the public transport sector, this means those who are most visible—drivers, riders, and vendors—are often the most heavily taxed, regardless of their actual income levels. As Nigeria pushes forward with its tax reform agenda, the true measure of success will lie not in policy announcements, but in execution. While VAT exemptions on essential goods and services offer some immediate relief, dismantling the entrenched system of informal levies—particularly those enforced by powerful unions like the NURTW—will require consistent political commitment and deeper institutional reform. Until such change is realized, both commuters and drivers may continue to shoulder the weight of a system that, despite reforms, remains largely unchanged. For professional advice on Accountancy, Transfer Pricing, Tax, Assurance, Outsourcing, online accounting support, Company Registration, and CAC matters, please contact Sunmola David & CO (Chartered Accountants & Tax Practitioners) at Lagos, Ogun state Nigeria offices, www.sunmoladavid.com. You can also reach us via WhatsApp at +2348038460036.

In a strategic move to enhance financial standards and deepen sector-specific expertise within Nigeria’s evolving aviation industry, the Institute of Chartered Accountants of Nigeria (ICAN) has officially inaugurated its specialized Aviation Chapter. This newly established platform is designed to unite ICAN members with experience and interest in aviation finance, creating a dynamic space for professional development, peer engagement, and strategic advocacy. The creation of the Aviation Chapter highlights the growing acknowledgment of the sector’s unique financial challenges and significant growth potential. ICAN aims to address these complexities through a focused, collaborative approach. “By bringing together our members with specialized knowledge, we aim to contribute significantly to the sector’s sustainable development and ensure adherence to the highest standards of financial management and corporate governance,” said John Italume of ICAN in an official statement. The Aviation Chapter is set to drive impactful initiatives centered on professional development, hosting targeted workshops, seminars, and training sessions that delve into the specific financial intricacies of the aviation industry. It will also promote best practices, cutting-edge research, and real-world insights among finance professionals embedded in aviation, while working closely with regulators and policymakers to offer informed perspectives on economic and financial matters affecting the sector. This proactive engagement is expected to support policy development that fosters long-term stability and sustainable growth in aviation. The chapter’s interim leadership includes distinguished chartered accountants with extensive backgrounds in aviation finance, airport operations, and strategic oversight. Ayodele Olatiregun will serve as the Pioneer Chairman, heading a team of accomplished executives and seasoned professionals from across Nigeria’s aviation landscape. The official launch event is slated for Tuesday, April 22, 2025, at the Victoria Garden Conference and Event Centre in Agidingbi, Ikeja, Lagos. The event is set to gather key stakeholders, including finance experts, aviation regulators, and top government officials, in a celebration of collaboration and forward-thinking leadership. With this initiative, ICAN is laying the groundwork for a more transparent, accountable, and resilient aviation sector. The Aviation Chapter stands as a beacon of progress—one that seeks to uplift the entire ecosystem by aligning financial best practices with the operational demands of a complex and rapidly growing industry. The integration of finance professionals into the heart of aviation decision-making has the potential to improve organizational performance, boost public trust, and enhance the overall efficiency of air travel in Nigeria—delivering benefits that ripple across businesses, individuals, and the national economy. For professional advice on Accountancy, Transfer Pricing, Tax, Assurance, Outsourcing, online accounting support, Company Registration, and CAC matters, please contact Sunmola David & CO (Chartered Accountants & Tax Practitioners) at Lagos, Ogun state Nigeria offices, www.sunmoladavid.com. You can also reach us via WhatsApp at +2348038460036.

The Federal Inland Revenue Service (FIRS) has rolled out an ambitious recruitment initiative aimed at boosting its in-house workforce to 80% by the end of the current administration. This strategic move is designed to reduce dependence on external consultants and foster a more capable, self-reliant institution. A Key Pillar of the 2025 Strategic Roadmap This recruitment effort is a cornerstone of the FIRS 2025 Strategic Roadmap, which focuses on three core pillars: people, innovation, and operational excellence. By prioritizing internal capacity building, FIRS aims to improve service delivery, enhance institutional continuity, and cut operational costs. Diverse Opportunities Across Departments FIRS is opening up a wide range of positions in areas including: Transparent and Merit-Based Selection In line with its commitment to fairness and professionalism, the recruitment process will be guided by transparency and merit. A dedicated leadership team comprising senior FIRS officials will oversee the entire process to ensure integrity and accountability. Commitment to Employee Development Successful candidates can look forward to: These initiatives aim to nurture talent, foster a culture of learning, and equip employees with the tools they need to thrive in their roles. Join the Transformation This recruitment drive marks a significant shift towards institutional self-sufficiency and long-term sustainability. FIRS is calling on qualified and passionate individuals to apply and be part of this transformative journey. Ready to make a difference?Explore available opportunities and take the first step towards a fulfilling career with FIRS. For professional advice on Accountancy, Transfer Pricing, Tax, Assurance, Outsourcing, online accounting support, Company Registration, and CAC matters, please contact Sunmola David & CO (Chartered Accountants & Tax Practitioners) at Lagos, Ogun state Nigeria offices, www.sunmoladavid.com. You can also reach us via WhatsApp at +2348038460036.

Finance Minister Enoch Godongwana has defended the government’s decision to raise the Value Added Tax (VAT) rate by 0.5%, arguing that delaying or suspending the increase would have “severe and far-reaching” consequences for South Africa’s economy. In an affidavit submitted to the Western Cape Division of the High Court, Godongwana responded to legal challenges from the Democratic Alliance (DA) and the Economic Freedom Fighters (EFF), both of which are seeking to block the VAT increase scheduled to take effect on May 1. He maintained that their applications lack merit. Godongwana warned that stopping the VAT hike would result in a R13.5 billion revenue shortfall, forcing the state to either slash spending or borrow more—both of which, he said, carry significant risks. “Government would be forced to cut spending or increase borrowing. Spending cuts would likely impact essential services like education, healthcare, housing, and social protection programmes, which would disproportionately harm the poor and vulnerable,” Godongwana stated. The DA is also contesting the constitutionality of section 7(4) of the VAT Act, which permits the finance minister to temporarily adjust the VAT rate. However, Godongwana argued that the DA’s interpretation is flawed. “This section does not allow the Finance Minister to amend section 7(1) of the Act. It merely provides temporary, conditional authority to adjust the VAT rate for up to 12 months, subject to Parliament’s legislative powers,” he clarified. He also dismissed the EFF’s legal bid as vague and unsupported, questioning whether the party aimed to interdict the National Treasury’s report referencing the VAT hike, or the hike itself. Godongwana emphasized that Parliament would still debate and vote on the proposed VAT increase, expressing confidence that it would pass as a necessary and responsible fiscal measure. “While tax increases are politically challenging, I believe Parliament will recognize this step as fiscally prudent when the proposed amendment is debated,” he said. He urged the court to reject the applications for an interim interdict, stating that the applicants have alternative remedies and that the balance of convenience leans heavily against halting the tax increase. “The DA still has recourse through Part B of its motion and may request appropriate relief if successful. There’s no justification for interim relief at this stage,” he argued. The court is expected to hear arguments from both parties on Tuesday. The ruling will determine whether the VAT increase proceeds as scheduled or is put on hold pending further judicial review. Both the DA and EFF are also challenging the adoption of the 2025 Fiscal Framework and Revenue Proposals, claiming that the legislative processes followed by the National Assembly and National Council of Provinces were fundamentally flawed and unlawful. For professional advice on Accountancy, Transfer Pricing, Tax, Assurance, Outsourcing, online accounting support, Company Registration, and CAC matters, please contact Sunmola David & CO (Chartered Accountants & Tax Practitioners) at Lagos, Ogun state Nigeria offices, www.sunmoladavid.com. You can also reach us via WhatsApp at +2348038460036.

President Bola Tinubu’s effort to drive economic reform through a proposed increase in the Value-Added Tax (VAT) has suffered a major blow following rejection by the House of Representatives. The development not only exposes long-standing geopolitical tensions but also poses a threat to Nigeria’s fiscal outlook in 2025. The rejected plan sought to raise VAT from 7.5% to 10% in 2025 and further to 15% by 2030. Lawmakers pushed back over proposed adjustments to the VAT-sharing formula, fearing that the new revenue allocation would disproportionately favor the more industrialized southern states. Currently, VAT is distributed 50% equally among the 36 states, 30% by population and 20% by contribution to the pool. Tinubu’s plan sought to revise this to 20% equally, 20% by population and 60% by contribution. Northern lawmakers opposed this formula citing a potential loss in revenue, given the higher contribution from states like Lagos and Rivers. This fiscal pushback comes at a time when Nigeria’s budget is under increasing pressure and oil prices are dropping below the government’s benchmark of $75 per barrel due to global market disruptions tied to the US trade war, revenue shortfalls are imminent. Oil accounts for nearly half of government spending and is the main source of foreign exchange for the country. The VAT hike was the third pillar in Tinubu’s reform strategy following the removal of fuel subsidies and the floating of the naira. Nigeria’s tax-to-GDP ratio stands at approximately 11%, one of the lowest globally. The proposed increase was designed to bolster non-oil revenue. Experts say the rejection of the VAT increase highlights the persistent divide between the north and south on revenue allocation and governance. The northern region, more populous but less industrialized, relies heavily on federal allocations and opposes reforms that appear to benefit the south. Vice President Kashim Shettima defended the broader economic reforms in a recent statement, asserting that “governance must deliver water, electricity, schools, roads and hospitals” rather than focus solely on federalism theory. He emphasised the government’s commitment to a bold but necessary path of reform. Despite the legislative hurdle, the government plans to intensify income tax reforms. The National Assembly has already approved measures to close loopholes and improve compliance. New rules target tax evaders and high-income earners while initiatives like rewarding renters for reporting landlords are expected to improve property tax collection. Abiodun Kayode-Alli, a senior manager in PwC’s tax and strategy unit, noted that “there’s a lot of wealthy Nigerians literally not paying taxes.” He said increasing enforcement and closing gaps in compliance could help offset VAT shortfalls. Analysts believe that while the VAT rejection represents a temporary fiscal obstacle, successful implementation of income tax reforms and enhanced enforcement may provide alternative revenue streams. However, with Brent crude trading at about $65 per barrel, $10 short of budget expectations, Nigeria’s fiscal space remains constrained. The Senate is expected to deliberate on the VAT proposal after Easter. Analysts anticipate a similar rejection unless major compromises are introduced. Meanwhile, Tinubu’s economic team must reassess its strategies to sustain fiscal stability amid weakening oil revenues and geopolitical pushback from within the National Assembly. For professional advice on Accountancy, Transfer Pricing, Tax, Assurance, Outsourcing, online accounting support, Company Registration, and CAC matters, please contact Sunmola David & CO (Chartered Accountants & Tax Practitioners) at Lagos, Ogun state Nigeria offices, www.sunmoladavid.com. You can also reach us via WhatsApp at +2348038460036.

The Federal Inland Revenue Service (FIRS) has announced a projected revenue target of N25.2 trillion for 2025, reflecting a significant increase from the N21.6 trillion collected in 2024. This ambitious target highlights the Service’s ongoing efforts to strengthen government revenue through improved tax administration and strategic reforms. FIRS Executive Chairman, Dr. Zacch Adedeji, made this known during the opening of a two-day workshop themed “Tax Expenditure and its Effects on Government Revenue.” Represented by Bola Akintola, Coordinating Director of the Corporate Services Group, Adedeji noted that the FIRS continues to face mounting pressure to generate more revenue, especially as contributions from certain Ministries, Departments, and Agencies (MDAs) continue to decline. He revealed that the Service currently contributes an average of over 60 percent of the total monthly inflow to the Federation Account, attributing this performance to a range of proactive policy decisions and reform initiatives that have been implemented in recent years. However, he also pointed out the growing concern over revenue loss linked to tax incentives, which he said remain difficult to quantify due to a lack of reliable data. This issue underscores the importance of developing stronger mechanisms for tracking and evaluating tax expenditure. In a paper titled “Nigerian Experience in Tax Expenditure Reporting – Achievements and Challenges,” Ikata Oyekuodi John, Head of Tax Expenditure Management at FIRS, explained that effective fiscal policy requires a delicate balance between offering tax incentives and maintaining consistent, sustainable revenue generation. He emphasized that tax expenditure reporting plays a crucial role in assessing the cost and impact of incentive policies, helping to guide better decision-making. As FIRS looks toward 2025, its focus remains on enhancing transparency, improving data-driven reporting, and ensuring that Nigeria’s tax system supports long-term economic stability. For professional advice on Accountancy, Transfer Pricing, Tax, Assurance, Outsourcing, online accounting support, Company Registration, and CAC matters, please contact Sunmola David & CO (Chartered Accountants & Tax Practitioners) at Lagos, Ogun state Nigeria offices, www.sunmoladavid.com. You can also reach us via WhatsApp at +2348038460036.

Introduction In a strong statement of intent to strengthen investor confidence in Nigeria’s financial ecosystem, the Institute of Chartered Accountants of Nigeria (ICAN) and NGX Regulation Limited (NGX RegCo) have reaffirmed the pivotal role of transparency and accountability in attracting both local and foreign investment. The message was clear: without open and responsible corporate reporting, sustainable economic growth remains elusive. This position was emphasized during the second edition of the ICAN-NGX RegCo Corporate Reporting Award, held recently in Lagos. Transparency: A Key Driver of Economic Integrity During the event, ICAN’s 59th President, Davidson Alaribe, highlighted the growing demand for businesses to go beyond traditional financial disclosures. According to Alaribe, the health of a nation’s economy is deeply tied to the openness and integrity of its corporate reporting standards. “Our economy’s credibility hinges on transparent reporting practices,” Alaribe stated. “We must continue to foster a culture of openness and accountability, not only to meet regulatory obligations but to build a more resilient future for Nigeria’s corporate sector.” Recognizing Excellence in Reporting The ICAN-NGX RegCo Corporate Reporting Award celebrates companies that exemplify best practices in financial reporting, governance, and sustainability. This year’s edition assessed Nigeria’s 30 most capitalised listed companies, evaluating them on the basis of financial transparency, ESG metrics, and corporate governance. Award Highlights: Additional recognitions were presented for sector-specific excellence and most improved performance in reporting and compliance. A Call for ESG Accountability Alaribe emphasized that environmental, social, and governance (ESG) disclosure has evolved from a corporate trend into a business imperative. He urged companies to commit to ethical, sustainable business practices that go beyond profit-making. “As we honour today’s winners, we must also recommit ourselves to the principles of transparency and sustainability—values that will shape the next chapter of Nigeria’s economic journey,” he said. NGX RegCo: Guardians of Market Integrity Olufemi Shobanjo, CEO of NGX RegCo, reinforced the centrality of corporate reporting in maintaining market stability and building investor trust. “Corporate reporting is more than a compliance requirement,” Shobanjo explained. “It is the heartbeat of a transparent market, instilling confidence in investors, shareholders, and the wider public.” He added that this year’s award recipients have set a benchmark for others to follow, demonstrating the positive impact of transparency on corporate reputation and investor appeal. Conclusion The message from the ICAN-NGX RegCo Corporate Reporting Award is loud and clear: transparency, accountability, and sustainability are not optional—they are the bedrock of a thriving capital market. As businesses navigate a more complex global landscape, their commitment to these principles will determine their relevance, resilience, and long-term success. Companies across Nigeria are encouraged to take this call seriously—not just to win awards, but to lead responsibly and earn lasting trust in the eyes of the world. For professional advice on Accountancy, Transfer Pricing, Tax, Assurance, Outsourcing, online accounting support, Company Registration, and CAC matters, please contact Sunmola David & CO (Chartered Accountants & Tax Practitioners) at Lagos, Ogun state Nigeria offices, www.sunmoladavid.com. You can also reach us via WhatsApp at +2348038460036.

Introduction: The Oyo State Government has recently introduced a new tax law that will require traders and artisans to pay taxes. This new regulation aims to generate revenue for the state, while also ensuring that all sectors contribute to the development and growth of the region. The implementation of this law is expected to have a significant impact on the local economy, as it will now include more businesses, particularly small and medium-scale traders and artisans. The New Tax Law: In a move to boost the state’s economy, the Oyo State Government has mandated that traders, artisans, and other small-scale businesses begin to pay taxes under the new legislation. The law is designed to streamline the taxation process and make it more inclusive of the various informal businesses that are prevalent within the state. This new law aims to promote fairness, as it ensures that all businesses, big or small, contribute their fair share to the state’s resources. Traders and artisans will now be expected to register with the appropriate tax authorities and pay the taxes levied on their income and business activities. Why the Law Was Introduced: The introduction of this tax law is a response to the need for increased revenue generation within the state. By including traders and artisans in the tax net, the government seeks to improve public infrastructure, provide essential services, and boost the overall development of Oyo State. This law is part of the state’s broader strategy to modernize its tax system, improve governance, and ensure the equitable distribution of resources across different sectors of the economy. How It Will Affect Traders and Artisans: Traders and artisans in Oyo State will need to understand the details of the new tax requirements to ensure compliance. The government is expected to provide guidelines on the tax rates and processes for registration. This could also provide an opportunity for many small businesses to access government services and programs aimed at boosting their operations. For traders and artisans, paying taxes can also lead to certain benefits, such as greater access to public services and infrastructure improvements, which can, in turn, support their businesses. Conclusion: As Oyo State continues to evolve and grow, the introduction of the new tax law represents an important step towards a more structured and sustainable economy. Traders and artisans are encouraged to familiarize themselves with the law’s provisions to ensure smooth compliance and contribute to the development of the state. For professional advice on Accountancy, Transfer Pricing, Tax, Assurance, Outsourcing, online accounting support, Company Registration, and CAC matters, please contact Sunmola David & CO (Chartered Accountants & Tax Practitioners) at Lagos, Ogun state Nigeria offices, www.sunmoladavid.com. You can also reach us via WhatsApp at +2348038460036.

Banks have called on the government to introduce tax incentives and reliefs for financial institutions involved in infrastructure and mining financing—similar to policies implemented in countries like China and Brazil. Oliver Alawuba, Chairman of the Body of Banks’ Chief Executive Officers (CEOs), made this appeal during the 36th Seminar of the Finance Correspondents Association of Nigeria (FICAN), held in Abuja on Monday. The seminar was themed: “Banking Recapitalisation Towards a One-Trillion Dollar Economy: The Industry Perspective.” Alawuba, who is also the Group Managing Director of United Bank for Africa (UBA) Plc, emphasized that offering tax breaks for recapitalisation-related investments and providing partial refunds of the Cash Reserve Requirement (CRR) tied to infrastructure financing would significantly contribute to achieving Nigeria’s one trillion dollar economic vision. He also highlighted the importance of enabling legislation to support long-term capital mobilisation, as well as strategic communication, capacity building, and stakeholder engagement to drive economic growth. According to him, the Central Bank of Nigeria’s (CBN) recent directive on banking recapitalisation marks a significant policy move aimed at aligning the strength of Nigeria’s financial system with its ambitious economic goals. “It is a necessary and strategic step toward achieving the vision of a one trillion dollar economy,” he said. Alawuba noted that banks view recapitalisation not just as a compliance requirement, but as an opportunity to redefine their roles as key drivers of economic development. He stressed that Nigeria’s journey toward a trillion-dollar economy hinges on the financial sector’s ability to mobilise capital, fund critical infrastructure, bolster the real sector, and drive digital transformation. While commending the CBN’s recapitalisation initiative as timely and strategic, Alawuba also pointed out several challenges that must be addressed, including regulatory and policy inconsistencies, security issues, limited financial accessibility, and the need for deeper inclusion. “Banks today are expected to support both traditional sectors like oil and gas, agriculture, and manufacturing, as well as emerging industries such as fintech, green energy, and infrastructure,” he said. “Without adequate capital buffers, the sector cannot effectively meet these demands.” He described recapitalisation as more than a regulatory mandate, but rather a forward-thinking policy designed to equip the banking sector for the scale, complexity, and competitiveness required in a trillion-dollar economy. Alawuba urged banks to take the lead in compliance, innovation, and economic leadership, while calling on regulators to provide wise and adaptable guidance. “Let us reimagine banking as a catalyst for national development—and commit ourselves to building an economy that benefits every Nigerian,” he concluded. For professional advice on Accountancy, Transfer Pricing, Tax, Assurance, Outsourcing, online accounting support, Company Registration, and CAC matters, please contact Sunmola David & CO (Chartered Accountants & Tax Practitioners) at Lagos, Ogun state Nigeria offices, www.sunmoladavid.com. You can also reach us via WhatsApp at +2348038460036.

The Federal High Court in Abuja has admitted documents from the Federal Inland Revenue Service (FIRS) allegedly detailing its investigation into Binance’s financial operations in Nigeria. Justice Emeka Nwite admitted the documents as evidence during a hearing on Friday, following a request by FIRS counsel, Moses Idehu. According to an earlier report by Nairametrics, the FIRS amended its lawsuit on May 17, 2024, accusing Binance of failing to collect and remit key taxes—specifically Value Added Tax (VAT) and Company Income Tax (CIT)—as required by Section 40 of the FIRS Establishment Act (2007, as amended). Allegations Against Binance The FIRS claims Binance provided cryptocurrency services to Nigerians—such as the buying, selling, transferring, and remittance of crypto assets—without deducting or remitting the appropriate VAT. On June 14, 2024, the court discharged two individuals—Tigran Gambaryan, a 39-year-old American, and Nadeem Anjarwalla, who is currently on the run—from the FIRS tax evasion suit, after Binance appointed Ayodele Omotilewa as its Nigerian representative. Omotilewa, appearing on behalf of the company, denied the allegations, allowing the court to proceed with the trial. FIRS Investigation Details During the hearing, Muftau Abdukarim, Assistant Director at FIRS’ Government Business Task Office, testified that on March 12, 2024, his department received a memo from the Litigation and Prosecution Department instructing them to investigate Binance Holdings Ltd. Abdukarim stated that he immediately assigned the task to a subordinate, Omoshola Babafemi, who used the FIRS’s TaxPro Max platform to conduct the investigation. “On March 19, 2024, Babafemi submitted a memo with the investigation findings,” Abdukarim said, adding that he forwarded the report to the Litigation and Prosecution Department that same day. The internal memos—reviewed by Nairametrics—included directives for a detailed investigation into Binance’s financial transactions and compliance status in Nigeria. Excerpts from the memos read: “I have been assigned by the Head of the Criminal Prosecution Division (FIRS) to coordinate the investigation on this matter and also request your office to generate bank transaction records of Binance Holdings Ltd…” “Sequel to your memo dated March 12, 2024, our office has conducted a comprehensive search on the TaxPro Max platform regarding Binance Holdings Ltd… and we hereby forward the report of our findings.” FIRS counsel Moses Idehu urged the court to admit these documents as evidence. Binance’s lawyer, Chukwuka Ikwuazom (SAN), did not object or cross-examine the witness. The court admitted the documents and adjourned the case until May 20, 2025. Context and Background The Federal Government previously accused Binance of contributing to the instability of Nigeria’s foreign exchange market. Minister of Information, Idris Mohammed, claimed the platform recorded over $20 billion in transactions in Nigeria in 2023 alone. On February 28, 2024, two senior Binance executives were detained in Nigeria. While Anjarwalla later escaped, Gambaryan was released after several months due to health concerns and diplomatic intervention. In addition to the FIRS case, Binance also faces a separate lawsuit by the Economic and Financial Crimes Commission (EFCC) for alleged money laundering, tax evasion, and FX violations. FIRS is also demanding $79.5 billion in damages, ₦231 million in penalties, and $2 billion in income tax for the years 2022 and 2023. For professional advice on Accountancy, Transfer Pricing, Tax, Assurance, Outsourcing, online accounting support, Company Registration, and CAC matters, please contact Sunmola David & CO (Chartered Accountants & Tax Practitioners) at Lagos, Ogun state Nigeria offices, www.sunmoladavid.com. You can also reach us via WhatsApp at +2348038460036.