- Mon-Fri 9am - 5pm
Elsa Consulting
Chartered Tax Practitioners and Auditors
Elsa Consulting
Chartered Tax Practitioners and Auditors
Accounting Services
Financial statement preparation
Financial Accounting is all about reporting financial info to external stakeholders like investors, creditors, etc. It's like the company's financial storyteller.
Management Accounting, on the other hand, is for internal decision-making, helping managers make smart choices.
Bookkeeping
Bookkeeping service is like the backbone of a company's financial health! It's the process of recording, classifying, and reporting financial transactions, like income, expenses, assets, and liabilities.
Think of it like keeping a clean and organized financial diary.
Bookkeeping services help businesses:
Track income and expenses
Manage cash flow
Prepare financial statements
Make informed decisions
Meet tax obligations
Budgeting & forecasting
Budgeting and forecasting are like the GPS for business decisions! They help you navigate financial uncertainty and make informed choices.
Budgeting: Creating a financial roadmap for your business, allocating resources, and prioritizing spending.
Forecasting: Predicting future financial performance, identifying trends, and spotting opportunities or threats.
Together, they help you:
Set realistic targets
Manage cash flow
Identify areas for cost-cutting
Make strategic investments
Drive business growth
Financial analysis
Financial analysis can help solve a variety of business problems, like:
Identifying areas to cut costs and boost profits
Evaluating investment opportunities
Managing cash flow and working capital
Assessing financial risk and developing mitigation strategies
Informing strategic decisions with data-driven insights
Advisory services
Our advisory service department can support businesses with:
Strategy Development: Defining business goals and creating a roadmap
Operational Improvement: Streamlining processes and enhancing efficiency
Risk Management: Identifying and mitigating risks
Financial Planning: Managing cash flow, forecasting, and funding
Regulatory Compliance: Navigating laws and regulations
Operational Improvement
Payroll in Nigeria involves several components, including employee earnings, statutory deductions, and taxes. Here’s an overview:
Key Components of Payroll in Nigeria
Employee Earnings: This includes basic salary, allowances, and bonuses.
Statutory Deductions:These include Pension Contributions (8% employee, 10% employer), National Housing Fund (2.5%), and Health Insurance (5%).
Taxes: Pay-As-You-Earn (PAYE) income tax is deducted from employees’ gross pay, with rates ranging from 7% to 30%.
Employer Obligations
Register with relevant authorities, including FIRS, PENCOM, and NHIA.
Calculate and remit PAYE income tax, pension contributions, and other statutory deductions.
Maintain accurate payroll records and issue payslips to employees.
Recent Updates
The 2025 PAYE updates introduce revised tax bands, digital reporting requirements, and increased penalties for non-compliance.
Small businesses with annual turnover below a specified threshold are exempt from withholding tax obligations.
Reduced withholding tax rates apply to sectors operating on low margins, such as agriculture and manufacturing.
Implementing the new PAYE system with the Tax Reform in Nigeria involves several key changes.
Here are some important updates:
Revised Tax Bands: The Federal Inland Revenue Service (FIRS) has adjusted tax bands to reflect the current economic landscape, impacting the amount of tax employees owe based on their income levels.
Digital Reporting: Businesses are now required to submit PAYE reports digitally on a monthly basis, enhancing transparency and compliance.
Penalties for Non-Compliance: Hefty fines and sanctions will be imposed on businesses that fail to meet their tax obligations.
Tax Exemption for Low-Income Earners: Individuals earning ≤ ₦800,000 per year are exempt from Personal Income Tax (PIT) liability.
Progressive Tax Rates: High earners will be taxed at progressive rates up to 25%.
Mandatory E-Invoicing and VAT Fiscalisation: Businesses must adopt e-invoicing and real-time VAT systems aligned with FIRS technology protocols.
New Tax Brackets and Rates:
0% on the first ₦800,000
7% on the next ₦2,200,000
11% on the next ₦9,000,000
18% on the next ₦13,000,000
21% on the next ₦25,000,000
23% on the next ₦50,000,000
25% on any amount above ₦50,000,000
The new tax reforms aim to simplify Nigeria’s tax structure, enhance revenue generation, and promote fairness and equity. The reforms will take effect from January 1, 2026.