Odoo for Nigeria: VAT, FIRS & Nigerian Localization

Nigerian Tax in Odoo

Nigeria's Federal Inland Revenue Service (FIRS) administers tax collection. Businesses must register for VAT, file monthly returns, and comply with withholding tax obligations. Odoo can be configured for full Nigerian compliance.

VAT Configuration

# Nigerian VAT:
# Standard rate: 7.5% (since Feb 2020)
# Exempt: medical, educational, basic food
# Zero-rated: exports, diplomatic goods

# Setup in Odoo:
# Accounting → Configuration → Taxes
# Create: VAT 7.5% (Sales)
# Create: VAT 7.5% (Purchases)
# Create: VAT Exempt
# Create: VAT Zero-Rated

Company Setup

# Company details:
# TIN (Tax Identification Number): 10-digit + hyphen + check digit
# RC Number: CAC registration number
# Currency: NGN (Nigerian Naira)
# Fiscal year: January - December

# Chart of accounts:
# Use IFRS-based Nigerian chart
# Or customize standard Odoo chart for Nigeria

Withholding Tax (WHT)

# Nigerian WHT rates:
# Dividends: 10%
# Interest: 10%
# Rent: 10%
# Professional/consultancy: 10%
# Construction: 5%
# Supply of goods: 5%
# Commission: 10%

# Configure in Odoo:
# Create tax with negative amount on vendor bills
# Withholding tax creates journal entry
# Remit to FIRS by 21st of following month

Company Income Tax (CIT)

# CIT rates (Finance Act 2023):
# Small companies (turnover ≤ ₦25M): 0%
# Medium (₦25M - ₦100M): 20%
# Large (> ₦100M): 30%

# Tertiary Education Tax: 2.5% of assessable profit
# NASENI levy: 0.25% (turnover > ₦100M)
# Police Trust Fund: 0.005% of net profit

FIRS Filing

# Monthly VAT returns:
# Due by 21st of following month
# File via FIRS TaxPro Max portal

# From Odoo:
# Accounting → Reports → Tax Report
# Export VAT collected and input VAT
# Calculate net VAT payable
# Submit on TaxPro Max

DeployMonkey for Nigeria

Deploy Odoo for your Nigerian business on DeployMonkey. The AI agent configures 7.5% VAT, WHT rates, and Nigerian-compliant accounting. FIRS-ready from day one.