Connect with us

Business

FIRS denies plans to tax social media businesses

Published

on

The Federal Inland Revenue Service (FIRS) has said it has no plan to tax companies using the social media to transact business, but confirmed that digital platforms will be brought into the tax net.

The tax agency said the only bill available for social media tax is one which seeks to make Facebook, Twitter, YouTube and other digital giants taxpayers within Nigeria.

The Nigerian government has been contemplating introducing the tax bill in the social media circle following claims that Facebook, Twitter and their contemporaries have substantial economic footprint in the country.

With the FIRS yet to submit any policy relating to policing the operation of Facebook, Twitter and Google, there are speculations that businesses using social media to trade will also be taxed.

However, during a press conference on Wednesday, the Group lead, Special Tax Operation Group at the FIRS, Mathew Gbonjubola, denied such plans exist.

Gbonjubola said, ”With rspect to the question on the social media taxs, I am sorry if I disappoint you but I am hearing this for the firt time.

Read also: Court dismisses FIRS’ move to stop Rivers govt from VAT collection

“I am not aware that FIRS has presented any bill to the National Assembly to request any social media tax.

“I can tell you on behalf of the executive chairman that is not from us. So if there is any such bill at the National Assembly, the FIRS is not a sponsor.” he said

FIRS boss wants to tax online activities

Meanwhile, prior to the press conference, FIRS Executive Chairman, Muhammad Nami, had told Senate Joint Committees working on the Medium Term Expenditure Framework and Fiscal Strategy Paper, that the agency wants to tax online activities and businesses.

“You are aware of the issues of digital economy and the challenges of policing the digital tax payers like Twitters and Facebook.

So, we are going to come up with the rules and provisions that the National Assembly will passionately look at and approve for us so as to bring them to the tax net. We want to see a way of taxing online activities and businesses.” Nami said.

Join the conversation

Opinions

Investigations