Lagos Internal Revenue Service (LIRS) pursuant to Section 60 of the Nigeria Tax Administration Act (NTAA), plans to ask Nigerian banks to debit bank accounts of employers who failed to remit tax liability.

This was disclosed in a recent notice on Sunday.

LIRS stressed that the move was in line with the implementation of the country’s NTAA and other new tax laws, which took effect on January 1, 2026.

“Where a taxpayer fails, neglects, or refuses to settle any established outstanding tax liability when due, LIRS may exercise its power under Section 60 to direct any of the following persons to pay the amount owed by the taxpayer:

“Banks and other financial institutions; Employers; tenants, debtors, or customers of the taxpayer; Agents, business partners, and any person holding money on behalf of the taxpayer; Any person owing money to the taxpayer, whether presently due or accruing. Once a substitution notice is issued, the person served is statutorily required to remit to LIRS the amount. Specified in the notice from funds belonging to, or payable to, the defaulting taxpayer,” the LIRS notice partly read.

Meanwhile, Taiwo Oyedele, chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, weeks ago ruled out claims that the government would debit personal accounts over tax remittances.

At least 13,417 individuals linked to fraudulent activities in Nigeria’s financial system have been captured on the Person of Interest Portal jointly developed by the Nigeria Inter Bank Settlement System (NIBSS) in collaboration with the Central Bank of Nigeria (CBN), security agencies and other stakeholders.

Premier Oiwoh, managing director of NIBSS,  disclosed this while speaking on ongoing efforts to curb fraud in the payments ecosystem, noting that the portal which contains names and photographs of suspects has been actively used by law enforcement agencies since it began capturing data from 2019.

Oiwoh, while noting that fraud management remains a core responsibility of NIBSS, noted that the number of reported fraud cases has declined over the past five years, the value of losses remains a key concern for regulators and operators.

According to him, actual fraud losses stood at about N17.67 billion in 2023 before rising sharply to N52.26 billion in 2024, mainly due to a single incident involving N31.1 billion by one entity. He noted, however, that losses dropped significantly in 2025, reflecting tighter controls and improved collaboration across the industry.

He explained that Lagos continues to account for the highest concentration of fraud cases due to its position as the country’s commercial hub, while Abuja has also recorded a notable rise, with other states still featuring in reported incidents.

By transaction channel, Oiwoh said fraud is most prevalent in e-commerce and internet banking, followed by POS, mobile and web platforms.

He identified social engineering as the most common technique used by fraudsters, warning that insider abuse now poses the greatest threat to the system.

“Insider involvement is high, and recent investigations have confirmed this. Many of the fraud cases we are seeing today involve insiders, including former bankers,” he stated, noting that coordinated industry action has yielded results, and that joint efforts last year alone prevented losses of about N20 billion that could have been lost to fraud.

He raised concern over non-reporting of fraud incidents revealing that fraud reporting declined by about 34 per cent in the last quarter of 2025.

He warned that failure to report allows perpetrators to move freely between institutions undetected.

“In several cases investigated last year, individuals involved in fraud simply moved to other institutions because incidents were not reported. Non-reporting is unacceptable,” he said.

He said NIBSS, working with the CBN, the Nigerian Financial Intelligence Unit, and security agencies, has integrated centralised data systems, including industry watch lists, politically exposed persons databases, and customer account repositories, into the Person of Interest Portal to strengthen monitoring, identity management, and fraud prevention.

Credit… Leadership

Central Bank of Nigeria (CBN) is to introduce new rules to improve how debit cards and Automated Teller Machines (ATMs) work in Nigeria, according to Olayemi Cardoso, governor of the apex bank.

Cardoso, made this known through Fatai Karim, his special adviser, at an event held over the weekend.

According to him, the new rules are meant to solve ongoing problems with cash withdrawals and to restore public trust in electronic payment systems.

The CBN explained that banks will now be required to issue debit cards based on the number of ATMs they have installed. This means a bank should not issue too many cards if it does not have enough ATMs to support them.

The policy is expected to reduce long queues at ATMs, frequent machine breakdowns, and uneven access to cash across the country.

The CBN noted that repeated ATM failures and cash shortages have made many Nigerians lose confidence in digital banking, even though electronic transactions are increasing.

The Governor said the new policy will soon be introduced to clean up the system and ensure banks properly balance the number of debit cards they issue with the ATMs they operate.