DIRECT ASSESSMENT GUIDE

DIRECT ACCESSMENT GUIDELINES

 

DEFINITION: It is a system through which self-employed persons are assessed and charged to Personal Income tax.

The self-employed include but not limited to: Professionals (Lawyers, Architects. Accountants, Surveyors, Consultants etc).

Contractors, Politicians, Mechanics, Traders, Welders,

Vulcanizes, Farmers, Carpenters, Tailors, Butchers, Hairs

Dressers, Bricklayers, Dyers, traders, artisans and all residents in

Kaduna State who have any source of income.

 

METHOD OF OPERATION.

These categories of people can be assessed through the following:

1. SELF-ASSESSMENT

It is a system where a taxable person voluntarily assess himself, file tax returns and

pays to the Kaduna State Internal Revenue Service(KADIRS). The self-assessment filed may be subjected to review from time to time by KADIRS.

2. GOVERNMENT ASSESSMENT: It is a system where the tax payer

is assessed by Kaduna State Internal Revenue Service(KADIRS) after he has filled and returned his annual

tax returns for the relevant year of assessment

3. BEST OF JUDGEMENT ACCESSMENT (BOJA)

It is a process where Kaduna State Internal Revenue Service(KADIRS) uses the Information available to it

to raise an assessment on a tax payer who fails to file his returns

within the stipulated period as allowed by law.

4. PROCEDURES FOR SELF. ASSESSMENT:

a. Collect the Self Assessment form from the Head Office or any

Area Revenue Office nearest to you

b. Complete the form honestly, indicating your actual Income for

the relevant years of assessment.

c. Indicate the correct tax you should pay based on the approved

self assessment tax table

d. Pay the tax to any of the designated Bank Accounts or POS

terminals and make sure you collect an-e-receipt instantly.

e. Payment could be made in cash, cheque or bank draft

f. Having assessed and paid, the Revenue will review to ascertain

the correctness of the assessments; and may accepts or

review the assessment either upward or downward.

 

5. OFFENCES AND PENALTY

SECTIION

OFFENCES

PENALTY (INDIVIDUAL)

S.47(3)

A person who engages In banking business who fails to render returns. books, documents and Information

on demand within 7 days

N50,000 For Individual

S.49(3)

A person who engages in banking business who fails to render Information about new customers within 7 days of the next following month

For  Individual N50,000

S.52(1)(a)

Failure to keep Book of Accounts  

For  Individual N50,000

S.74(1)

 Failure to deduct/remit tax

10% of taxes not deducted/ remitted plus interest at CBN Monetary policy rate

S.81(a)3

Failure to file returns by self employed

N50,000 ( Individual)

S.94

Failure to comply with any

provision where there is no

specific penalty

N50,000 in the 1st instance

N100 for every day

S.95(1)

Making incorrect returns

N20,000.00

S.95(1)(b)

Making false statement and returns

 

 

S.96(1)

False statement by person in relation to tax payable or repayable

N10,000.00 or imprisonment nor more than 6 months

 

Relevant Information
Tax Rate
  • 7% First N 300,000
  • 11% Next N 300,000
  • 15% Next N 500,000
  • 21% Next N 500,000
  • 21% Next N 1,600,000
  • 24% Above N 3,200,000
Tax Payment Mode
  • Option 1 InterSwitch PayDirect
  • Option 2 Quick Teller

Branch Location