Low AI use slows Nigeria digital tax transition
Nigeria’s transition to automated tax administration faces a significant obstacle, with fewer than 15 percent of micro, small and medium enterprises currently utilizing artificial intelligence in their business operations. Digital skills consultant Akin-Ayeni warned that the reformed Nigeria Tax Act demands new digital competencies from taxpayers, as automated filing systems and real-time monitoring through API connectivity replace manual processes entirely.
The legislation requires companies to integrate accounting software directly with federal tax databases, enabling authorities to track income, expenses and invoices instantaneously through mandatory electronic invoicing. Businesses lacking digital capabilities risk compliance failures and exclusion from finance opportunities, according to Ayeni, who emphasized that data analytics proficiency has become essential for accountants and tax practitioners.
EDLI Digital plans specialized training programs covering prompt engineering, business AI applications and system integration with revenue platforms. The consultant noted that Nigerian banks have already deployed advanced digital compliance tools, accelerated by ongoing recapitalization initiatives.
