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For many businesses, outsourcing of payroll services is a valuable alternative to in-house processing.  When chosen correctly, payroll services provide a less expensive and simpler means of paying employees, tax filing, and performing a host of other payroll related duties. However, choosing ... Read More
    Special Business Tax (SBT) is another kind of indirect tax introduced in 1992 to replace Business Tax. Certain businesses that are excluded from VAT will instead be subject to SBT. Special Businesses are so classified because of the peculiar nature of ... Read More
For many businesses, outsourcing of payroll services is a valuable alternative to in-house processing.  When chosen correctly, payroll services provide a less expensive and simpler means of paying employees, tax filing, and performing a host of other payroll related duties. However, ... Read More
Bookkeeping is an integral part of business management. Bookkeeping is the process of recording and maintaining financial transactions for your business, and it’s a great way to generate a detailed financial overview for your business whenever you need it. The discipline ... Read More
    Value Added Tax (VAT) was introduced by the Federal Government of Nigeria and is provided for by the Value Added Tax Decree 102 of 1993 which became effective in 1994 which requires manufacturers, wholesalers, importers and suppliers of VATable goods ... Read More
    It is common knowledge that regulatory provisions are ever increasing, especially in a country like Nigeria where there are multiple sectors, sub-sectors, and industries. Presently, there are over 1000 regulatory provisions cutting across regulators such as Central Bank of Nigeria (CBN), Advertising ... Read More
The world has gone beyond manual ways of doing things; as technology evolves in the 21st century, only organizations and small businesses that are smart enough use it as a form of leverage against competitors. Leverage gives one ... Read More
  The Chief Compliance Officer (CCO) plays a very important role in the attempt to ensure that a company complies with regulations guiding the profession. Every company with a department for regulatory compliance has a CCO. Compliance means establishing adequate supervision and ... Read More
Cloud accounting software is hosted on remote servers, and provides accounting capabilities similar to the SaaS (Software as a Service) business model. Cloud accounting software is particularly more useful for ... Read More

REASONS WHY COMPANIES OUTSOURCE THEIR PAYROLL

It has been 6 months of demanding work for most Auditors and Accountants. Most Companies in Nigeria are 31 December financial year-end. Some companies are 31 December due to:

For those that are mandated to have their financial year-end as 31 December, it is understandable but why do you choose 31 December when it is not mandatory for your company.

With 31 December being year-end for most companies in Nigeria, auditors and accountants work very hard to meet up with the reporting deadline. What you experience, is that Clients with fat cheques get the attention of the Auditors, and most time, they meet the reporting deadline earlier compare with smaller companies.

It is also a common occurrence to experience regulatory filing difficulties on the last day of filing of 30 June for 31 December year-end client. The heavy internet traffic on the Tax Authority website crashes the website on such date and usually difficult to file returns.

Instead of selecting 31 December as your financial year-end, you can also align your year-end with your business cycle. A school can choose 30 September year-end as it aligns with the Student Academic calendar.

Our suggestion is always if you are not mandated to be a 31 December year-end client, please choose another month for your financial year-end. You will receive better service and attention from your auditors and tax authority because work pressure will be less. March, June, or September is a good alternative financial year-end to choose.

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