AI agents for business finance: what they can and can't do
What AI agents can do in bookkeeping, close, collections and compliance today, where a person must stay in charge, and how to judge a product.
The short answer
Under section 153 of the Nigeria Tax Act 2025, a VAT invoice should carry the supplier's TIN, an invoice number, the supplier's name and address, its CAC registration number, the date of supply, the customer's name, the gross amount and the VAT charged with its rate. To get paid quickly, also add payment terms, a due date, a purchase order reference and the exact account to pay into.
The statutory details
The Nigeria Tax Act 2025 took effect on 1 January 2026 and sets out what a VAT invoice must show. Commentary on the Act lists eight particulars in section 153. If you charge VAT, every invoice should include all of them.
- Your tax identification number (TIN).
- A unique invoice number.
- Your business name and address.
- Your incorporation or registration number from the CAC.
- The date of supply.
- The name of the customer.
- The gross amount of the transaction.
- The VAT charged, showing the rate applied.
The new tax laws also introduce mandatory e-invoicing through the Nigeria Revenue Service's fiscalisation system, with penalties for companies that do not comply. Our explainer on e-invoicing in Nigeria covers who is affected and when. This article is about the content of the invoice itself, which matters whether you issue it on paper, as a PDF or through a system.
The details that get you paid
A legally complete invoice can still sit unpaid for weeks because the customer's accounts team cannot process it. Add these:
| Field | Why customers' finance teams want it |
|---|---|
| Customer's purchase order (PO) number | Many companies cannot pay an invoice that does not quote their PO. |
| Customer's address and contact person | So the invoice reaches the person who approves it. |
| Clear line items: description, quantity, unit price | They match it to what was delivered. 'Services rendered' invites questions. |
| Payment terms and a due date | 'Due within 30 days' is vague. 'Due 14 November 2026' is not. |
| Bank account name and number | Exactly as it appears at your bank, so the name check matches when they pay. |
| Withholding tax note, if it applies | Ask the customer to send the WHT credit note when they deduct. |
| Late payment terms, if agreed in the contract | Only if your contract with the customer provides for them. |
Withholding tax often explains why a customer pays less than the invoice total. See withholding tax on invoices for how to get credit notes back.
Numbering and records
Number invoices in an unbroken sequence and never reuse a number. If you cancel one, keep it and mark it cancelled; if you need to reduce an amount, issue a credit note rather than editing the original. Gaps and edited invoices are exactly what a tax review looks for. The Nigeria Tax Administration Act 2025 gives the tax authority powers to access books and records to verify returns.
Small companies
Under the Nigeria Tax Act 2025, a small company is broadly one with turnover of ₦50 million or less and fixed assets of ₦250 million or less, excluding professional services firms, and it pays 0% company income tax. That does not remove the need to issue proper invoices: your customers still need them for their own records and VAT claims, and you need them to prove your turnover.
Worked example
Example: a cleaning contractor in Abuja invoices a property company for October. The invoice shows: the contractor's name, address, TIN and RC number; invoice number INV-2026-0147; date of supply 31 October 2026; the property company's name, address and PO number 88213; line items for 22 days of office cleaning at ₦18,000 a day (₦396,000) and two deep cleans at ₦45,000 each (₦90,000); gross amount ₦486,000; VAT at the applicable rate shown on its own line; total; 'Due 14 November 2026'; and the business account name and number. A note asks the customer to send the WHT credit note if withholding tax is deducted. Nothing on it should prompt a query, so it goes straight to approval.
Sending and chasing
- Send the invoice to the named contact and the accounts payable address together.
- Send a PDF, not a photo of a printout.
- Note the due date in your own diary and send a polite reminder a few days before it.
- When paid, issue a receipt that quotes the invoice number. See what a business receipt should include.
- If payment is short, check for withholding tax before chasing.
Common reasons invoices are sent back
Large customers, government agencies and multinationals often reject invoices for small reasons, and every rejection restarts their payment cycle. Check for these before you send:
- The customer's name on the invoice does not match its registered name, for example a brand name instead of the company name.
- No PO number, or a PO number that has already been fully invoiced.
- Quantities or prices that differ from the PO without an explanation.
- Your account name on the invoice differs from the name the bank returns, which makes the customer's payment team nervous.
- The invoice is addressed to an individual who has since left, so it never reaches accounts.
- VAT is charged but your TIN is missing, or VAT is shown without the rate.
Where Pryme fits
A Pryme Business Account includes invoicing, so the account details on the invoice are the account the money arrives in. The Finance agent can prepare invoices and reminders and match incoming payments to them; a person reviews and approves what goes out, and each action is recorded.
Questions people ask
What makes an invoice valid in Nigeria?
For VAT purposes, section 153 of the Nigeria Tax Act 2025 lists the particulars: your TIN, invoice number, name and address, registration number, date of supply, customer name, gross amount and VAT charged with its rate.
Do I need a TIN to issue an invoice?
If you are charging VAT, your TIN is one of the required details. Business customers will also usually ask for it before they pay.
Can I edit an invoice after sending it?
Do not edit or reuse it. Cancel it and keep the record, or issue a credit note, then send a new invoice with a new number.
Why did my customer pay less than my invoice?
The most common reason is withholding tax deducted at source. Ask for the WHT credit note, which you can use against your own tax.
Sources
- Sustainable Stories: A valid Nigerian VAT invoice now depends on eight statutory particulars · accessed Oct 2026
- Nigeria Tax Act, 2025 (full text) · accessed Oct 2026
- EY: Nigeria Tax Act, 2025 has been signed (highlights) · accessed Oct 2026
- PwC Worldwide Tax Summaries: Nigeria corporate tax administration · accessed Oct 2026
- Nigeria Tax Administration Act, 2025 (full text) · accessed Oct 2026
This article is general information, not financial, legal or tax advice. Products described are provided under the terms on this site and are subject to regulation and eligibility.