Nigeria TV Info 

How Remote Workers, Influencers Will Be Taxed Under New Law — Oyedele

Lagos, October 1, 2025 — The Federal Government has affirmed that Nigerians earning income through remote work or social media influencing will be subject to taxation under the sweeping tax reforms that take effect on January 1, 2026.

Taiwo Oyedele, Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, disclosed this during a tax-education session held at the Redeemed Christian Church of God, City of David, Lagos.

What the New Law Requires

• Individuals working remotely for foreign companies are required to self-declare their income in Nigeria, because if their employer were local, tax would ordinarily be withheld and remitted on their behalf.
• Failure to declare such income may lead to penalties: the government may trace fund inflows, deem them as undeclared income, and impose tax, interest, and fines for late payment.
• The same rules apply to influencers and content creators who earn revenue online — irrespective of whether the income originates locally or abroad.

Residency, Diasporans & Double Taxation

• Individuals who spend 183 days or more in Nigeria within a year become tax residents, meaning they are liable to tax on global income.
• For diasporans (Nigerians living abroad), the law provides for unilateral tax credits to mitigate double taxation — i.e., tax paid abroad may be credited against Nigerian tax liabilities.
• If someone spends less time in Nigeria but earns domestic income (e.g. rental, services), that income may still be taxed under the new regime.

Importers, Jurisdiction & Simplification

• Oyedele clarified importers will be treated based on the nature of their business — trading, manufacturing, etc. — and reliefs may be provided accordingly.
• To allay fears of overlapping taxation by federal, state, and local governments, the new law defines jurisdiction clearly — i.e., which level collects which tax.
• Many existing taxes on small businesses may be removed or streamlined; the focus will instead be on personal income tax for individuals.

Broader Impacts & Reactions

• The reforms aim to widen the tax base, bringing previously untaxed income into the system, and help boost government revenue.
• Critics warn that enforcement—tracking cross-border payments, verifying declarations—could face practical challenges.
• Some content creators and freelancers have expressed concern over how the rules will apply to small incomes and what thresholds might be set.