yinchar:
Nigerians!!!

This is the new norm, every country is doing it now. You can’t be making money from a country and not pay tax!

Every foreign purchase from eBay or Amazon is subjected to online tax, which mean you paying tax to that country, because it’s a law.

Same thing should apply in Nigeria as well, online companies irrespective of where they are based or located should pay tax for income originating from Nigeria.

Venerable612:


Let me help you.

1. Only foreign companies offering digital services, with Significant Economic Presence, will be taxed; and
2. The foreign company MUST earn more than 25 Million naira in Nigeria, IN NAIRA.

It’s very simple brother. They will simply be taxed over the revenue generated in Nigeria, provided the threshold above is triggered.

It doesn’t amount to double taxation, certainly not from the perspective of Nigeria - because as it were, they are making money off Nigerians without giving back.

Now whether they pass on the costs to the consumer is a different issue for the Consumer Protection Agency. In developed societies, companies can’t arbitrarily increase prices of their services/products. Nigeria will get there someday - but the tax imposition is good for the country.

Venerable612:


Let me help you.

1. Only foreign companies offering digital services, with Significant Economic Presence, will be taxed; and
2. The foreign company MUST earn more than 25 Million naira in Nigeria, IN NAIRA.

It’s very simple brother. They will simply be taxed over the revenue generated in Nigeria, provided the threshold above is triggered.

It doesn’t amount to double taxation, certainly not from the perspective of Nigeria - because as it were, they are making money off Nigerians without giving back.

Now whether they pass on the costs to the consumer is a different issue for the Consumer Protection Agency. In developed societies, companies can’t arbitrarily increase prices of their services/products. Nigeria will get there someday - but the tax imposition is good for the country.

Lostz:


even France came up same law recently. you can't be making money in Nigeria and be paying 0 tax

Openbusiness:

Mr man, you should be even grateful that they have included Nigeria in their coverage. I was trying to do something online recently, "ordinary" African countries like angola, kenya etc were included, but Nigeria was blocked. If these guys pull out, it is your useless country that will drown back to the stone age of NTA media and radio Nigeria broadcasting . Tax fire. All the trillions in naira local tax they have been collecting, what do they do with it other than stealing, embezzlement, corruption and turning themselves to overnight billionaires? Tax kee this hopeless government dia

Lostz:


they can only pass the cost to you if you buy ads or any of their pay to use service.

they can't pass the cost to ordinary users.

this is among the few things buhari has done right. you can't be making money from Nigeria and paying 0 tax

yinchar:
Nigerians!!!

This is the new norm, every country is doing it now. You can’t be making money from a country and not pay tax!

Every foreign purchase from eBay or Amazon is subjected to online tax, which mean you paying tax to that country, because it’s a law.

Same thing should apply in Nigeria as well, online companies irrespective of where they are based or located should pay tax for income originating from Nigeria.

kikero:
I'm not here to 'defend government' but let's be honest.

Oil prices this last 6 months have generally not been favourable to Nigeria. Also, the whole covid19 thing has stymied international trade, which makes earning cash from non-oil sector even more problematic.

Then there is the fact that our GDP-to-tax ratio is 5.8% (average in Africa is 28%)

I know most of us are 'poor', but the harsh truth is, until oil goes up above $100 per barrel, taxes is going to be the way forward. Whether the government can control the looters on board is another issue.

t2luv1:


How are they making money in Nigeria? They provide a platform you voluntarily signed on to the platform with personal information. Even in US they only pay taxes when those data are sold to a third party within that country. Maybe you prefer they pay Nigeria on revenue generated outside Nigeria. None of those providers has offices in Nigeria where they sell any of their services. If I am wrong I will like someone to tell me otherwise

t2luv1:


How are they making money in Nigeria? They provide a platform you voluntarily signed on to the platform with personal information. Even in US they only pay taxes when those data are sold to a third party within that country. Maybe you prefer they pay Nigeria on revenue generated outside Nigeria. None of those providers has offices in Nigeria where they sell any of their services. If I am wrong I will like someone to tell me otherwise

Lostz:


even France came up same law recently. you can't be making money in Nigeria and be paying 0 tax

Openbusiness:
How many years did it take before Nigeria can partake of Netflix? This bastard government just want to destroy all the effort and the progress that took 20 years to bring this digital investors here. Kemi Adeosun is 10 trillion times better than this quota system product. But because of one useless NYSC certificate exemption error, foolish Nigerians rushed to crucify her, not knowing they were acting the script of the hegemonic herdsmen in the north, hope you guys are happy now with the devil substitute they don give una. later she will introduce tax for sleeping at night. Tueehhhhhh!

anigbajumo:


Lol,the earlier the better bro. Fiscal Federalism is the only way forward, looking forward to survive mainly on non-renewable resources as source of income is a big threat to our future, we can't continue to pray for price of oil to go up before our leaders can think out of the box. Constitutional amendment is the solution to all these or else we are joking with our future.

airsaylongcom:


Yes. You surrender your personal data for them to target ads at you

Openbusiness:

Mr man, you should be even grateful that they have included Nigeria in their coverage. I was trying to do something online recently, "ordinary" African countries like angola, kenya etc were included, but Nigeria was blocked. If these guys pull out, it is your useless country that will drown back to the stone age of NTA media and radio Nigeria broadcasting . Tax fire. All the trillions in naira local tax they have been collecting, what do they do with it other than stealing, embezzlement, corruption and turning themselves to overnight billionaires? Tax kee this hopeless government dia

Omooba77:


https://punchng.com/fg-plans-to-tax-netflix-facebook-others/

Openbusiness:

Oga don't ever compare Nigeria with France, never ever. be comparing Nigeria to Somalia, Yemen or South Sudan. Now ask yourself the same question, are such countries asking Facebook to pay tax? In fact, FB is very stupid, sorry but not sorry to say, because if i were Mark Zuckerberg, I will make sure anyone signing up from Nigeria, or any account with Nigerian IP address to pay subscription of $200 per month before they can use FB service, let's see how many of these useless government officials will be able to be catching trips on FB. You are using FB, using Twitter for free, yet you want to tax them? Tax dem na, let's see whether your country won't sink back to social media stone age. Do you think Nigeria is a consequential market for digital giants? Smh, i laugh in NTA News You get to watch the latest films from the comfort of your home or wherever for a token fee and you think you're the one doing Netflix a favor? Guy there are better African countries that will rush Netflix to take your space if they pull of from Nigeria. They won't even feel nada. Na una go lose. Till date, do your know how many digital giants till have Nigeria on their blacklist? Till today, you can't even receive money on PayPal from Nigeria. Yet you are mentioning Nigeria and France in the same sentence. Abeg no dey try am again

Lostz:


they can only pass the cost to you if you buy ads or any of their pay to use service.

they can't pass the cost to ordinary users.

this is among the few things buhari has done right. you can't be making money from Nigeria and paying 0 tax

Venerable612:


Let me help you.

1. Only foreign companies offering digital services, with Significant Economic Presence, will be taxed; and
2. The foreign company MUST earn more than 25 Million naira in Nigeria, IN NAIRA.

It’s very simple brother. They will simply be taxed over the revenue generated in Nigeria, provided the threshold above is triggered.

It doesn’t amount to double taxation, certainly not from the perspective of Nigeria - because as it were, they are making money off Nigerians without giving back.

Now whether they pass on the costs to the consumer is a different issue for the Consumer Protection Agency. In developed societies, companies can’t arbitrarily increase prices of their services/products. Nigeria will get there someday - but the tax imposition is good for the country.

Let me also make a final note.
The reasons many of these MNCs rake in huge amount of Revenues is because they have big Tac Firms assisting them with Tax evasion and avoidance, by exploiting loopholes in Tax laws.

You would see that there have been recent cases of Google and FB punished By the EU for tax evasion- in Ireland and I think France.

Through Accounting principles such as Transfer Pricing - a Company can wire all its revenue to a tax haven country (like Cayman Islands) for the purposes of tax remittance - thereby avoiding the payment of taxes in countries where the revenues were made.

My brother you would have to very knowledgeable in these things to understand that these MNCs are big rip offs!

Omooba77:


Many subscribers to streaming services like Netflix, Spotify, Hulu, HBO Now, Amazon Prime Video and Disney Plus will see an increase in their monthly bills due to new taxes levied in around half the U.S. states.

https://www.cnbc.com/2020/02/24/states-are-imposing-a-netflix-and-spotify-tax-to-raise-money.html

nencounter10:


My how do they target ads at me?

Omooba77:


We are docile nation and un-united, reason our leaders can throw anything at us. Are they responsible for buying data for me. Data already taxed, is this not amounting to double taxations?
They have paid defenders who will come and spew nonsense as usual.