In a landmark policy shift, the Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, has declared that Nigerians working remotely for foreign companies must declare their income and pay taxes in Nigeria.
The directive, which forms part of sweeping tax reforms, is set to take effect from January 1, 2026. According to Oyedele, the move is aimed at closing existing tax gaps, ensuring fairness, and broadening Nigeria’s revenue base. Income from Remote Work, Social Media, and Online Businesses Now Taxable
Oyedele explained that income earned by Nigerians through remote jobs, social media influencing, or online business activities falls under taxable earnings in Nigeria.
“If you are a remote worker, you are a worker. You just happen to do your work remotely. That amount of money they pay to you is your salary. You will self-declare it,” he said.
He emphasized that individuals are responsible for declaring their own earnings, regardless of whether their employers are based abroad.
Penalties for Non-Compliance
Failure to comply with the new directive could attract stiff consequences. Oyedele noted that undeclared income will not only be taxed but also attract penalties, including interest on delayed payments.
“If you now refuse to declare, the government will see the movement of the money, and say you failed to declare. They will deem it as your income, charge you tax on it, add penalty, add interest for delayed payments,” he warned.
With mechanisms in place to trace financial transactions, the government plans to ensure full enforcement of the reforms.
The directive applies to:
- Nigerians working remotely for foreign or local firms
- Social media influencers earning income online
- Entrepreneurs engaged in online businesses
All are expected to self-declare their earnings and pay the required taxes from 2026.
The reforms are designed to strengthen Nigeria’s fiscal system and promote equity in taxation.
Which yeye tax
u can imagine