SEC-S20W4 | My Business Ideas | Registration, License, and Taxes

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Section 1- We are interested to know about the registration procedure of your business in your country and how you manage it.

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When it comes to the registration of business in Nigeria it is been handled by the office of the Corporate Affairs Commission (CAC) which gives the guidelines for businesses in Nigeria to follow and get registered.

Having said that above, since the Corporate Affairs Commission (CAC) is the department in charge of business registration in Nigeria, I visited the office of the Corporate Affairs Commission CAC with all my relevant documents to get my business registered first. After registering my business with CAC I would then obtain a clearance in the host community where my business would be located. In Nigeria, one would have to settle the people in the community before getting a business clearance which I would legally do.

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Section 2- Tell us all about the procedure to obtain any license/permit etc. to run your business.

The procedure to obtain any license/permit etc to run my business must be followed legally and not me trying to bypass any of the procedures. As for the permit, it is given by the local government I will visit the authority in charge and get my permit since my business doesn't fall under free trade.

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The problem that I would face with my government would be the problem of not paying taxes when it is due for me to pay taxes. Failure to pay my taxes to the government at the time tax officials from government agencies would have problems also if I am into manufacturing or production and I went ahead running my business without getting NAFDAC approval I would have problems with the government. Every procedure usually takes 1 month which as for NAFDAC approval, takes up to 3 months.

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Section 3- What is the tax structure for traders/manufacturers

My tax structure would be based on my sales and how government tax is been paid in my country. In Nigeria, a large business entity pays a higher tax rate than a small business entity and my paying of tax would be based on the amount of profit that I made. If the tax rate is 10%, then it would be deducted from the profit that I made. However, my payment of tax would be done yearly and not monthly. As for tax rebates, I would do my best to be eligible for tax rebates.

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Section 4- What are the options in case you face any tax-related problems?

The option in case I face any tax-related problems is to hire a professional to help me out. As a business owner, it would be nice to have a company lawyer, and accountant in case any problems like tax-related arise.

I would allow the professionals that I would hire to help me and manage them because I cannot do them all by myself. It would be too hectic for me and I would allow professionals in the field to help me and manage any tax-related problems.

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I am inviting my friends; @dave-hanny, @ruthjoe, and @vickyson to also join me.

Cc:-
@dove11
@aviral123