The Digest:
The Nigerian government is significantly expanding its tax net to include remote workers, Nigerians in the diaspora, and social media influencers, as part of its major fiscal policy and tax reforms. Taiwo Oyedele, Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, clarified how these groups will be taxed, emphasizing a shift toward mandatory self-declaration of global income.
Key Points:
- The Presidential Tax Committee has detailed plans to tax remote workers, diasporans, and influencers.
- Remote workers for foreign companies must self-declare their income or face penalties.
- Nigerians abroad who spend 183 days (6 months) in the country will be considered tax residents.
- The new laws provide unilateral tax credits to prevent double taxation for diasporans.
- All income earners, including sex workers, will be taxed regardless of the trade's legitimacy.
- Capital gains tax will only apply if annual sales exceed N150 million and gains surpass N10 million.
- Crypto gains will be taxed on net profits (gains minus losses) after self-declaration.
Sources: BusinessDay Nigeria
