Annual Returns in Nigeria: Deadlines, Penalties, and How to Stay Compliant

Why annual returns quietly kill Nigerian businesses

A company that took you weeks to register and money you could have used elsewhere can be rendered inactive by CAC because one annual return was not filed. The real pain is not just the filing fee—it is the late-filing penalty and the risk of losing the name you have built. Many founders only discover the problem when a tender portal rejects their bid or a bank asks for a status report. By then, the company may already be on the CAC strike-off list.

The CAMA 2020 obligation in plain terms

Under the Companies and Allied Matters Act 2020, every registered company in Nigeria must file an annual return with the Corporate Affairs Commission each year. This is not a tax filing and it is not optional. It tells CAC that the company is still active, its registered office is current, and its directors and shareholding details are up to date.

This applies to private companies limited by shares, public companies, companies limited by guarantee, and incorporated trustees. If you registered a business name, your renewal obligation is different. For a limited liability company, annual returns are part of the cost of keeping the company alive. CAC does not need to send a reminder; the duty is on the company.

When it is due and what it costs

The safest rule is to treat the return as due every year. Under CAMA 2020, the return is linked to the company’s annual general meeting: it should be filed with CAC within 42 days after the AGM. If your company does not hold an AGM because it is a small company with a single director or because the members have dispensed with meetings, you should still file within the period the law expects—do not wait for CAC to remind you.

The official CAC filing fee depends on company type and share capital, and the CAC portal will show the exact amount for your entity before you pay. Compared with the penalty for late filing, the annual return fee is usually the cheapest compliance item on your list. Always confirm the current fee on the CAC portal because official fees change from time to time.

The penalty you do not want to meet

If you miss the deadline, CAC applies a late-filing penalty. Many owners are surprised to find this can be around ₦25,000 for companies, and it can grow when there are multiple years of default. Always confirm the exact penalty on the CAC portal because the amount can depend on entity type and length of default.

Beyond the money, the bigger risk is strike-off. CAC regularly publishes lists of companies to be removed from the register for failing to file annual returns. Once your company is struck off, it may lose its legal existence. That means contracts, tenders, grants, loan applications, and even the company’s bank account can become difficult or impossible to operate. A single missed year can become two or three because founders assume no notice means no problem.

Late-filing penalties that can exceed the cost of filing itself
Risk of being listed for strike-off by CAC
Loss of corporate status and difficulty restoring the company
Disruption to tenders, grants, loans, and regulatory checks

Restoring a struck-off company is not a small matter; it can involve court applications and extra cost. The better strategy is to file before the deadline.

How to file annual returns without losing your week

Confirm your company’s current status. Start with a live CAC status check to see whether the company is still active and what may be outstanding.
Gather the basics: RC number, registered office address, directors’ details, share capital, and a simple summary of the company’s financial position. The information must be consistent with CAC records.
Log in to the CAC portal, complete the annual return form for your entity type, and pay the official fee shown on the portal.
Download your receipt and acknowledgment. Keep them in the same folder as your incorporation documents.

If you have missed more than one year, do not ignore the older returns. Filing them late is usually cheaper and safer than waiting for a strike-off notice.

Let a done-for-you service carry the burden

You did not start a business to spend afternoons chasing CAC deadlines. A competent CAC-accredited agent or done-for-you filing service can track your due date, prepare the forms, flag inconsistent records, pay the official fee, and send you proof of filing. That one decision removes the late-filing risk and the quiet fear that your company may be on a strike-off list. This becomes even more useful when you have multiple entities or old returns to clear.