The Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, has clarified how income earned by Nigerians through remote work, social media influencing, or business imports, will be subject to taxation under the new fiscal reforms taking effect from January 1, 2026.
Oyedele made the disclosure during a tax education session organised by the Redeemed Christian Church of God, City of David, Lagos.
In a video from the session circulating on social media on Tuesday, Oyedele explained that Nigerians working remotely for foreign companies are now legally required to declare their income and pay tax in Nigeria.
“If you are a remote worker, you are a worker. The fact that your employer is abroad does not exempt you from tax. If they were in Nigeria, they would deduct at source. Since they are not, you are expected to self-declare,” he said.
He warned that those who failed to declare their income would be traced through financial records and penalised.
“The government will see the money movement. If you don’t declare, it will be deemed your income, taxed, with penalties and interest for delay,” Oyedele added.
The same rule, he said, applies to influencers who earn income online.
On concerns raised by importers, Oyedele noted that tax reliefs would depend on the nature of the business, whether trade, manufacturing, or other sectors.
Addressing fears of multiple taxation, he stressed that the new law clearly defines the tax jurisdiction of the federal, state, and local governments.
“The law now states who collects what. National Revenue Service will collect some taxes, states (will collect) others, and local governments (will collect) theirs. Individuals only need to focus on personal income tax,” he explained.
Oyedele emphasised that the reforms significantly reduce the number of taxes payable and streamline compliance. He also reiterated that upkeep money and gifts are not taxable, but payments for any product or service, including unconventional work, are now taxable.
Describing the framework as “the most transformative in Nigeria’s history,” he said it will simplify compliance, cut down disputes over multiple taxation, and boost government revenue.
Under the new rules, individuals earning below ₦800,000 annually will be exempted from personal income tax, while small companies with turnover up to ₦100 million and assets not exceeding ₦250 million will be exempted from company income tax, capital gains tax, and the new development levy.
