In line with the recent reports that influencers and content creators would be subject to Pay taxes,The Federal Inland Revenue Service (FIRS) has stated it has no intention to tax online content creators.
A reliable source within the FIRS, who preferred to remain anonymous, said that the agency’s jurisdiction primarily involves the collection of Company Income Tax, rather than Personal Income Tax, which falls under the purview of state governments. The source reiterated that only corporate entities earning profits exceeding N25 million are obligated to pay taxes.
Addressing recent media reports alleging content creators’ involvement in tax evasion, the FIRS clarified its stance, indicating that skit makers and similar individuals do not fall within the scope of taxation administered by the agency.
In an effort to improve the framework for tax administration in Nigeria, the FIRS presented a new organizational structure that is intended to promote efficiency and include modern techniques.
Dr. Zacch Adedeji, the Executive Chairman of the FIRS, highlighted the agency’s commitment to innovation, emphasizing the integration of technology into its operations.
Adedeji spoke about the adoption of an integrated tax strategy, utilizing technology to guarantee compliance and expedite taxpayer services. The new structure seeks to simplify the taxpayer experience by consolidating core functions and support services under a unified platform.
Adedeji pointed out that the agency is moving away from traditional tax classification in order to provide taxpayers with a smooth and easy-to-use experience.
