Annual returns are often overlooked by many Nigerian entrepreneurs—until penalties start to pile up. Filing your annual return with the Corporate Affairs Commission (CAC) is not only mandatory but also essential for keeping your company in good standing.
What Are Annual Returns?
An annual return is a statutory declaration that your company is still active and compliant. It contains information about the company’s directors, shareholders, share capital, and business activities.
It is NOT a tax return, which is filed with the Federal Inland Revenue Service (FIRS). Instead, it’s part of corporate compliance obligations under CAMA.
Who Should File?
All companies registered with CAC, including:
- Private limited companies
- Public limited companies
- Incorporated trustees (NGOs)
- Business names
When to File
- First-time filers: File 18 months after incorporation.
- Subsequent filings: Once every calendar year, not later than 42 days after your Annual General Meeting (AGM).
Consequences of Non-Compliance
- Accumulated penalties and late fees
- Risk of company being struck off the CAC register
- Difficulty in obtaining credit or contracts
- Loss of credibility with stakeholders
How to File
Filing can now be done online through the CAC portal:
- Log in to your CAC dashboard
- Select “File Annual Return”
- Fill out required details and upload documents
- Pay the applicable fee
- Submit and track approval
Legal Advice
- Ensure your company’s records (directors, addresses, shareholders) are up to date.
- Consider working with your company secretary or a lawyer to file properly.
