Expansion of DigiTax into Nigeria Officially Approved Technically
DigiTax, a software company that connects business invoicing systems directly to tax authorities' digital platforms, has secured technical approval from Nigeria's Federal Inland Revenue Service (FIRS) to serve as an Access Point Provider and System Integrator in the country's digital tax system for large businesses. This approval marks a significant step towards DigiTax's entry into West Africa.
The remaining step before DigiTax can fully activate and operate in Nigeria is to obtain one final regulatory sign-off from the FIRS. Once this is granted, DigiTax will be fully integrated and operational in Nigeria's digital tax ecosystem. This status positions Nigeria as DigiTax’s third active market, following Kenya and Zambia, and its second largest by taxpayer base.
As an Access Point Provider, DigiTax will facilitate communication between businesses and the tax authority. As a System Integrator, it will help companies integrate their enterprise resource planning (ERP) and invoicing systems with Nigeria’s real-time tax platform.
The FIRS e-invoicing mandate requires businesses with annual revenues of ₦5 billion (~$3.3 million) or more to submit invoices in real-time electronically. This system became live on August 1, 2025, following a November 2024 pilot phase.
DigiTax brings experience from Kenya and Zambia, where it supports compliance workflows and invoice validations for mandatory e-invoicing systems. It serves sectors including retail, pharmaceuticals, and manufacturing, with a client base of over 800 firms.
Once fully operational in Nigeria, DigiTax will provide real-time invoice validation, ERP or API integrations, and workflows for both B2B and B2C transactions. It will offer onboarding support to help businesses adjust to the phased rollout of Nigeria's e-invoicing regime.
DigiTax operates with a team of 25 people across tax, engineering, and customer operations. It primarily serves large firms, defined as those with at least $1.2 million in annual turnover, but also caters to smaller businesses.
Nigeria is projected to have about $16.8 billion in tax revenues in 2025, making it an attractive market for DigiTax's expansion strategy, which focuses on tax environments that are ready for real-time invoicing and where existing clients operate regionally.
DigiTax, now equipped with technical approval, is on the verge of fully integrating its finance, technology, and industry solutions into Nigeria's digital tax system, positioning itself to offer real-time invoice validation, ERP or API integrations, and workflow solutions for both B2B and B2C transactions. With the anticipation of a final regulatory sign-off, DigiTax aims to expand its operations in the finance sector, particularly in Nigeria's large businesses, following its success in Kenya and Zambia.
