A business name pays a different annual return penalty from a registered company. Here is the current figure, where it comes from, and what is still unclear about it.
How a business name's annual return differs from a company's
A business name (the "BN" number) files its annual return on Form CAC/BN 06, under section 822 of CAMA 2020. That is separate from the company annual return form and its own law.
The annual return fee itself is ₦5,000, which is different again from the penalty charged when that return arrives late.
The current penalty and the form it is filed on
CAC's 2025 schedule of fees lists ₦5,000 as the one-off penalty for a late business name annual return, charged against the business name itself. Unlike some of the company-level figures, this one is confirmed directly on the gazetted schedule.
That said, it sits alongside a daily default penalty that filing guides describe as suspended until further notice. The suspension covers the daily charge only, not this one-off figure.
Why the figure has moved before, so confirm it live
CAC's fee schedule changed with the gazette that took effect 1 Oct 2025, and older CAC pages are known to have quoted lower figures for related charges. A number you saw a year ago may no longer be current.
Before you pay anything, check the live figure through icrp.cac.gov.ng, the same portal companies use for their own annual returns.
What "one-off" means if you owe more than one year
CAC's schedule calls ₦5,000 a one-off penalty, charged for each late return rather than accumulating daily. That is the same pattern as the company-level penalties: a flat amount per return, not per day.
What CAC has not published is exactly how its portal adds this up across several missed years at once. A reasonable working assumption is one charge for each outstanding year, but treat your invoice on the portal as the final word.
What happens if you leave it long enough
An unfiled business name annual return does not disappear on its own. The longer it sits, the more attention it draws when you next need anything from CAC involving that business name, from a status report to a change of particulars.
Business names do not have directors in the way companies do, so the personal-liability rules written for the company and each of its directors and officers of companies do not carry across in the same form. The proprietor remains the one responsible for clearing the file.
A business name that stops trading is not automatically removed from the register. Nothing about closing the shop or stopping the trade tells CAC to stop expecting annual returns, so the file keeps ageing until someone acts on it.
Before filing anything, check where your business name actually stands. The CAC public search on icrp.cac.gov.ng shows whether it is active and roughly how far behind its filings are, which saves a wasted trip if the name has already lapsed for a different reason, such as a missed renewal of its own registration.
Getting back on track
Work out how many annual returns your business name owes, then file them in order rather than only the most recent one. Our guide to CAC annual return costs covers the base filing fee, and the CAC annual returns hub links the rest of this series.
Once you know what is outstanding, you can start your CAC annual return on your phone rather than queueing at a CAC office.