The Federal Inland Revenue Service (FIRS) has said there is no plan in the works to impose taxes on digital content creators.
The News Agency of Nigeria (NAN), quoted a senior staff of the FIRS to have clarified that skit makers are individuals who are not subject to taxation under the FIRS.
“FIRS does not tax Personal Income Tax, States governments do. FIRS collects Company Income Tax. Only those who are corporate names and earn profit of N25 million and more are required to pay tax,” the official states.
There have been reports that the FIRS was planning to tax online content creators popularly called skit makers as part of efforts to boost government revenues.
Plans by the federal government to achieve a tax-to-GDP ratio of 18 per cent in the next three years from its current 10 per cent and the introduction of a new framework aimed at enhancing the nation’s tax administration, have been fuelling the rumours.
However, Dr. Zacch Adedeji, the Executive Chairman of the FIRS, stated that the structure reflects efforts to adopt a more effective and modern approach to tax administration.
