Business

FIRS Assures Stakeholders Of Data Confidentiality Ahead Of E-Invoicing System Rollout

The Federal Inland Revenue Service (FIRS) has assured stakeholders, particularly in the manufacturing sector, that all data shared under the forthcoming electronic invoicing (e-invoicing) system will remain confidential and secure.

Mike Adoga, Acting Director of Tax Automation at FIRS, gave the assurance on Tuesday during a stakeholder engagement session in Lagos.

Adoga emphasized that the FIRS is fully guided by the provisions of the Nigeria Data Protection Act (NDPA) and has put in place strict measures to safeguard all tax-related data.

“I want you to be rest assured that we are guided by the Nigerian Data Protection Act and that all data passed for tax purposes remains confidential,” Adoga said.

He noted that while the FIRS is leading the implementation, the e-invoicing initiative is not solely an FIRS project but a federal government initiative overseen by a multi-agency steering committee.

“This project is coordinated by a federal government steering committee, which includes key institutions such as the Central Bank of Nigeria (CBN), National Information Technology Development Agency (NITDA), and the Federal Ministry of Finance,” he said.

He added that NITDA, which regulates the tech space in Nigeria, has taken the lead in setting standards and regulations for Access Point Providers—the third-party entities responsible for transmitting e-invoices.

“To become an access point provider, one must comply with NDPA provisions and meet stringent technical and regulatory specifications, including holding the necessary ISO certifications on data protection,” Adoga explained.

Reiterating the safety of data within the e-invoicing ecosystem, Adoga said stakeholders should feel confident about the integrity of the platform.

The e-invoicing project, first announced in September 2024, is aimed at automating tax processes, improving transparency in commercial transactions, and increasing tax compliance among businesses.

According to the FIRS, the system is now fully ready and will be officially launched on July 25, 2025.

“The goal is to enhance visibility in transactions between merchants and buyers, which in turn strengthens our tax administration system,” Adoga concluded.