BUSINESS NIGERIA

Nigeria Wallstreet Journal

Nigeria’s Tax System Goes Digital: FIRS Partners with Flutterwave for Seamless Payments

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Nigeria’s tax system is set for a major digital transformation as the Federal Inland Revenue Service (FIRS) partners with Flutterwave to facilitate seamless tax payments across the country.

The fintech company announced the integration of its payment technology on Thursday, positioning itself as one of the few private-sector players supporting the government’s efforts to modernise tax collection.

With this partnership, FIRS will leverage Flutterwave’s secure payment infrastructure to collect taxes, levies, and other government payments from businesses and individuals both in Nigeria and abroad. The move aims to enhance efficiency, transparency, and accessibility in tax compliance.

A Step Towards Digital Taxation

The collaboration aligns with FIRS’ broader strategy to streamline revenue collection through technology. The new system will allow taxpayers to make payments through multiple digital channels, offering real-time tracking, offline payment capabilities, and a frictionless tax payment experience.

“At Flutterwave, we are committed to leveraging technology to drive efficiency and economic growth. By making tax payments easier and more transparent, we are helping to digitise government collections and support national development, which is in line with our mission,” said Olugbenga Agboola, Chief Executive Officer of Flutterwave.

The fintech company highlighted several key advantages of the integration, including:

Real-time payment tracking to enhance transparency for both taxpayers and the tax agency.

Diverse digital and mobile payment options, ensuring ease of access.

Offline tax payment capabilities for those without internet access.

A streamlined process for Nigerians in the diaspora to fulfill their tax obligations seamlessly.

Public Sector Meets Fintech

Flutterwave’s Senior Vice President of Business Development, Olufunmilayo Olaniyi, underscored the importance of fintech collaboration with government institutions.

“Working with the public sector is pivotal to shaping the future of digital payments in Nigeria. This underscores our commitment to delivering solutions that serve Nigerians better, foster trust, and drive impactful innovation through strategic collaboration,” he said.

The move is part of a larger wave of digital reforms spearheaded by FIRS, which has introduced initiatives such as online tax filing, electronic tax registration, and data-driven risk assessment to improve efficiency and transparency.

Looking ahead, the agency plans to pilot an e-invoicing platform in July 2025, designed to enhance tax compliance by providing real-time visibility into business transactions and streamlining invoice management for companies operating in Nigeria.

With digital taxation gaining momentum, the partnership between FIRS and Flutterwave signals a shift towards a more modern, technology-driven approach to revenue collection—one that could redefine Nigeria’s tax system for years to come.

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