How Remote Workers, Influencers Will Pay Tax Under New Law – Oyedele
The Federal Government has announced that income earned by Nigerians through remote work, social media influencing, or import-related businesses will be subject to taxation under the new tax reforms set to take effect on January 1, 2026.
Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, made this clarification during a tax education session hosted by the Redeemed Christian Church of God, City of David, Lagos, in a video that went viral on Tuesday.
Oyedele explained that Nigerians working remotely for foreign companies are required by law to declare their income and pay tax in Nigeria.
“If you are a remote worker, you are still a worker. You may work for an American or European company and get paid abroad, but that salary must be self-declared here. If the employer were in Nigeria, they would deduct tax for you; because they are not, the responsibility is yours,” he said.
He warned that failure to declare such earnings would attract penalties once flagged by financial monitoring.
“The government will trace the flow of money. If you refuse to declare, they will deem it as income, charge tax, and add penalties and interest for late payment,” he added.
The same rule, Oyedele said, applies to influencers who generate income online. Importers will also be taxed based on the nature of their business—whether trading, manufacturing, or other sectors—with sector-specific reliefs available.
On concerns about multiple taxation, Oyedele explained that the new law clearly defines the “jurisdiction” of federal, state, and local governments.
“The law now states what taxes are payable and who collects them. Individuals only need to worry about personal income tax, while small businesses have most taxes removed. Larger businesses may need accountants, but the number of taxes overall has been reduced significantly,” he stated.
He added that the reforms aim to simplify compliance, reduce disputes, and boost government revenue, describing them as “the most transformative in Nigeria’s history.”
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Under the new framework, workers earning below N800,000 annually are exempt from personal income tax, while businesses with turnover up to N100m and assets not exceeding N250m are exempt from company income tax, capital gains tax, and the new development levy.
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