The Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, has clarified that Nigerians earning income from remote work, social media influence, or import-related businesses will be required to pay tax under the country’s new tax reform law.
Speaking during a tax education session organised by the Redeemed Christian Church of God (RCCG), City of David Parish, Lagos, Oyedele explained that the new regime will take effect from January 1, 2026.
He noted that income earned by Nigerians, whether locally or abroad, is subject to personal income tax, even if the employer is outside Nigeria.
“If you are a remote worker, you are still an employee. The only difference is that your work is done remotely,” Oyedele said.
He added,
“You may be working for a company in the United States, Europe, or elsewhere. The salary you earn from that job is taxable in Nigeria. Since your employer is not based here and won’t remit the tax on your behalf, the responsibility lies with you to self-declare and pay.”
Oyedele warned that non-compliance will attract government enforcement actions.
“If you refuse to declare your earnings, the government can track the inflow of funds into your accounts. When that happens, they will classify it as undeclared income and charge you accordingly—tax, penalties, and interest on late payment will all apply,” he stated.
He also stressed that the same rules apply to online content creators and influencers.
“For influencers, it’s no different. If you earn income from your online presence, it is taxable. The source of the income doesn’t exempt it from tax obligations,” he explained.
On the issue of importers, Oyedele said tax reliefs will depend on the specific nature of the business.
“When people ask whether importers will get any relief, we assess based on the nature of their business. If you are importing goods, you are either trading, manufacturing, or engaged in some form of production. Depending on what you’re doing with those imports, there may be relevant reliefs built into the system,” he said.
Addressing concerns about multiple taxation, Oyedele assured that the new law will simplify and clarify tax collection responsibilities across federal, state, and local governments.
“There’s been a lot of confusion around who is supposed to collect what but the new law clearly states the jurisdiction of each level of government. It outlines which taxes are federal, which are state, and which fall under the local governments. So individuals and businesses will no longer be paying the same tax to multiple authorities,” he noted.
He further advised small businesses and individuals not to panic, stressing that the reforms are designed to reduce the tax burden.
“If you are an individual, your focus should be on personal income tax. Many of the current taxes are being removed entirely for small businesses,” Oyedele said. “The only area we’re still working on is harmonising the local government taxes. And if you run a larger business, it is advisable to engage an accountant to help navigate your tax responsibilities.”
Concluding, Oyedele said the central aim of the reforms is to simplify Nigeria’s tax system, improve transparency, and enhance compliance.
“At the end of the day, we are streamlining the system. Instead of the numerous taxes currently in place, there will be a much smaller number. The law will spell out what taxes you owe, who you pay them to, and when payment is due. The objective is to make it simpler, not harder, for Nigerians to fulfil their obligations,” he affirmed.
With all the tax FG has been collecting, nothing good is still coming out from them. Receivers…