Why should a person in business onboard eTIMS, issue eTIMS compliant tax invoices and what are the consequences of not issuing an eTIMS compliant tax invoice?

• The requirement to onboard eTIMS and issue eTIMS compliant invoices is anchored in law.
• With effect from 1st January 2024, any person making deductions for business expenditure such as purchases and other business costs for income tax purposes is required to support such expenditure with a valid electronic tax invoice.
• Failure to issue TIMS ETR or eTIMS compliant tax invoices to your customers will deny them the ability to claim the expense when filing their income tax returns for periods commencing 1st January 2024.

NB: However, some valid business costs such as emoluments, imports, investment allowances, interest and air passenger ticketing have been excluded from the requirement of being supported by an eTIMS invoice.