Nigeria confirms VAT will be collected on online transactions

12 June 2019

The chairman of the Federal Inland Revenue Service (FIRS) confirmed the introduction of a 5% withholding value added tax on all e-commerce goods and service transactions.

The chairman did not give an official date for its introduction but did state that when introduced, it would be charged and collected via banks and credit card companies in the country; this is instead of suppliers. It would also apply to both resident and non-resident providers of these types of goods and services.

It is thought that this tax would be levied when the sale is made from the online marketplaces (such as Amazon, eBay, Facebook and Instagram, for example).

LATEST NEWS

Emergency VAT measures to combat the financial impact...

Due to the negative financial impact that the Coronavirus pandemic is having on businesses all over the world, a number of tax authorities have implemented...

SEE MORE
LATEST NEWS

UPDATE: EU warns 14 member states on delay in...

The European Commission (EC) has issued formal notice letters to 14 European Union (EU) member states, warning them on their failure to implement the four...

SEE MORE
LATEST NEWS

France relaxes conditions for Import VAT Postponed...

From January 2021, France will drop all requirements on businesses who are entitled to use the Import Value-Added Tax (VAT) Postponed Accounting regime in the...

SEE MORE

Gated Content

The following email providers are not accepted: gmail, hotmail, yahoo. Please use proper company email.