Confusion Persists Among Lagos Residents Over March 31 Tax Filing Deadline

Confusion Persists Among Lagos Residents Over March 31 Tax Filing Deadline Confusion continues to trail the March 31 deadline for filing annual income tax returns in Lagos, as many residents struggle to distinguish between paying taxes and filing returns, according to findings by the Lagos State Internal Revenue Service. Despite repeated reminders from the agency, a street survey revealed widespread misunderstanding among residents, particularly regarding the legal requirement to file annual tax returns separately from tax payments. LIRS reiterated that all taxable individuals, including employees whose taxes are deducted at source under the Pay-As-You-Earn (PAYE) system, must file their Annual Income Tax Returns (Form A) on or before March 31 each year. The agency emphasized that filing is a statutory obligation, stating that every resident must declare their income to the appropriate authorities, regardless of whether taxes have already been paid through salary deductions.

However, many Lagos residents interviewed expressed uncertainty about the requirement. Some respondents believed that daily levies and indirect payments already fulfilled their tax responsibilities, while others assumed that deductions from their salaries meant they had no further obligations.

Others admitted to having no prior knowledge of the filing process or the deadline, highlighting significant awareness gaps among both formal and informal sector workers. Economic hardship also emerged as a major concern, with several residents questioning their ability to comply amid rising living costs. Some respondents also pointed to limited access to digital tools, noting that the online filing system may pose challenges for certain groups.

LIRS has directed taxpayers to use its electronic filing platform to complete the process, including logging in, verifying income details, and submitting returns through the “Returns” section of the portal. The agency warned that failure to comply with the filing requirement could result in financial penalties, reinforcing the need for timely submission. Analysts say the ongoing confusion underscores the need for stronger public sensitisation campaigns to improve compliance and ensure that residents understand their obligations under Nigeria’s tax laws.