Fidelity Bank has announced that from January 1, 2026, customers whose accounts are not linked to either a Tax Identification Number (TIN) or a National Identity Number (NIN) may face transaction restrictions. The move is a component of more extensive regulatory changes brought about by the Nigerian Tax Administration Act (NTAA) 2025, which requires that every bank account in Nigeria be linked to a current identity or tax record.
The bank claims that each account holder is required to have a TIN. Linking their NIN, however, will be a suitable substitute for those who do not yet have one. Customers have already received notifications from Fidelity Bank, advising them to change their account information as soon as possible to prevent any problems once the policy goes into force. The bank cautioned in its communication that, as of the January deadline, accounts without a linked TIN or NIN may not be able to transact.
This decision coincides with the federal government’s intensified attempts to improve tax compliance nationwide. In order to ensure that all taxable persons and organizations are appropriately recorded, the NTAA 2025 offers a clearer legislative framework for implementing tax identification obligations inside the banking system. The new law now allows banks and regulators the power to fully execute comprehensive compliance procedures starting next year, according to Taiwo Oyedele, Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms.
This policy is a major change for many Nigerians, particularly those in the informal sector and small company owners. In order to continue using their accounts without any restrictions, millions of bank account holders who are now not registered for taxes must either regularize their status or at the very least link their NIN. By guaranteeing that income-generating activities are adequately tracked, the government hopes to enhance tax collection and decrease revenue leakages.
Beyond tax revenue, linking bank accounts to TINs and NINs also benefits the financial system itself. Experts note that identity-linked accounts make verification easier for banks and reduce the risk of unreported income and financial misconduct. A tax compliance analyst explained that enforcing this policy allows both banks and regulators to monitor taxable activities more effectively, creating a more transparent and accountable financial environment.
The enforcement is also expected to improve financial reporting standards across the banking sector. For banks like Fidelity, the ability to monitor transactions more accurately helps reduce the risk of breaching tax and regulatory laws. While the idea of linking tax IDs to bank accounts is not entirely new, earlier frameworks introduced under previous finance acts were not fully implemented due to structural gaps. The 2025 Act is designed to address those shortcomings and ensure consistent enforcement across all financial institutions.
Under the new rules, banks will play a central role in ensuring compliance. Fidelity Bank has made it clear that customers who fail to update their details may experience limitations on certain transactions, including transfers, withdrawals, and payments. While the bank has not outlined all the specific restrictions, the message remains straightforward: non-compliant accounts risk losing full functionality.
The policy is expected to have the most impact on individuals and small businesses that have not registered for a TIN or linked their NIN to their bank accounts. As the January deadline approaches, Fidelity Bank customers are being advised to act early by visiting bank branches or using approved digital channels to update their records.
