Regulatory compliance is crucial for Nigerian businesses to avoid legal issues. Mandatory registrations and filings with regulatory agencies, such as the Nigeria Social Insurance Trust Fund (NSITF), Industrial Training Fund (ITF), and Bureau of Public Procurement (BPP), are essential for obtaining public contracts. Here’s a guide to processing these compliance certificates.
1. Nigeria Social Insurance Trust Fund (NSITF)
The NSITF Act 1993 requires all private sector employers to register with the NSITF and remit 1% of their payroll monthly. This ensures employees receive retirement, survivor, and other benefits.
Exemptions:
- Public service employees
- Diplomats
- Non-Nigerian employees with less than six years of employment
- Ministers of religion
Registration Requirements:
- Company Incorporation documents
- Completed Registration and Payroll Schedule Forms
- Evidence of fee payment
Certification Requirements:
- Official request letter
- Company Incorporation documents
- Completed ECS RE 01 and Payroll Schedule Forms
- Submission of 10-digit Registration Number
- Payment receipt
Penalties for Non-Compliance:
- 5% penalty per month on unpaid contributions
- Unpaid contributions and interest recoverable as a debt
2. Industrial Training Fund (ITF)
The ITF Act mandates all employers with five or more employees, or with less than five employees but an annual turnover of N50m or more, to contribute 1% of their payroll annually.
Registration Requirements:
- Completed ITF Form 7
- Company Incorporation documents
- Certified Audited Account
- Tax Clearance Certificate
- Evidence of fee payment
Procedure:
- Submission of documents
- Liability assessment by ITF officers
- Payment through ITF Pay-portal or Remita
- Receipt issuance and Certificate of Compliance
Exemptions:
- Companies with less than five employees or less than N50m annual turnover
Penalties for Non-Compliance:
- 5% penalty per month on unpaid contributions
- Fines and imprisonment for failure to train staff or accept industrial attachment students
3. Bureau of Public Procurement (BPP)
The BPP ensures accountability in public procurement. Registration with the BPP is mandatory for contractors, consultants, and service providers working with the Federal Government.
Registration Requirements:
- Company Incorporation documents
- Tax Identification Number
- Details of Board of Directors
- Professional Regulatory Bodies Information (for services companies)
- Manufacturer Representation Information (for goods category)
- Construction Equipment List (for works category)
- Financial Capacity
- Key Human Resources
- List of Projects Completed
Registration Costs:
- Free
Estimated Timelines:
- NSITF and BPP: 5 working days
- ITF: 10 working days
By adhering to these requirements, companies can ensure compliance and maintain eligibility for public contracts in Nigeria.
