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

Hello Steemians, welcome to my post, and stay safe as you read through this post.

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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.

freepik

In Nigeria every business whether big or small is been regulated as stipulated in the Company and Allied Matter Act (CAMA) of 1990 which states that every business should be registered within 28 days of commencing the business failure to register within the 28 days given, the business will be paying a default fee of ₦150 (0.7 STEEM) for everyday default until the business is registered with the Corporate Affairs Commission (CAC).

That means in Nigeria if I want to register my business I would have to register it with the Corporate Affairs Commission (CAC) and prepare my financial report in line with the company and Allied Matter Act (CAMA) for tax payment. To this, before registering my business with the Corporate Affairs Commission (CAC) I would make sure I have gotten the under-listed documents.

• The registered address of my business
• Email and phone number of my proposed business
• Form of identification like driver's license or international passport.
• Approval note of name reserve from CAC
• Objective of my business
• The full name of directors and shareholders
• The details of the secretary of my business.
• An incorporation certificate and company resolution etc.

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

freepik

For the success of my business and to avoid being punished by the rule of law in my country, I would follow the procedure of the Company and Allied Matter Act (CAC) to obtain the right license/permit to run my business. Below are the procedures for getting a license from CAC online.

• Visit the CAC website https://www.cac.gov.ng/
• I will then submit two desired names for the search and preparation of incorporation documents for my business.
• I will then complete the pre-registration form and statement of share capital, stamp duty, etc
• I will then upload relevant documents
• I will then submit my application and wait
• Once my registration is approved, I will be issued with the electronic incorporation certificate and incorporation documents to run my business.

As for resident permits and others, I will sort out that with the local authorities where my business will be situated.

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

freepik

Well in Nigeria, currently we have three CIT rates that apply to businesses which are based on the turnover and size of a business. A large business with over ₦100 million turnover is liable to 30% tax, whereas a medium business with over ₦25 million turnover is to pay 20% as tax, and small businesses that have less than ₦25 turnover are expected to pay 10% which In my case the tax structure of my business would be based on the turnover of my business.

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

Normally businesses do face tax-related problems like tax avoidance or tax evasion if I should be faced with any tax-related problems I would notify my company lawyer for immediate assistance.

This is the area where I would need the services of three professionals such as a barrister (lawyer), accountant, and tax officer to solve any tax-related problems that I would have with the government. However, in Nigeria, I am not too familiar with consumer courts whether they're functioning or not. As for fair trade in Nigeria, it is called the free trade zone which is available in Lagos and 2 other states.

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I am inviting: @kouba01, @simonnwigwe, and @ruthjoe

Cc:-
@dove11
@aviral123