Nigeria’s tax agency, Federal Inland Revenue Service (FIRS) has announced that it has commenced the direct deduction and collection of taxes at transaction points from online gaming companies using the Sentinal National Payment Gateway and Electronic Solution. This was made known in a statement by Johannes Oluwatobi Wojuola, the Special Assistant on Media & Communication to the Executive Chairman of the FIRS and made available to journalists on Wednesday.
October 26, 2022Nigeria’s tax agency, Federal Inland Revenue Service has announced that it has commenced the direct deduction and collection of taxes at transaction points from online gaming companies using the Sentinal National Payment Gateway and Electronic Solution.
The notice read,"The FIRS is automating the administration of tax on online gaming using Sentinal National Payment Gateway and Electronic Solution. The Service further noted that all operators offering online gaming services in Nigeria, not later than the December 31, 2022, were required"to connect to the Sentinal National Payment Gateway, deduct tax from online gaming transactions and remit same directly to the relevant government's treasury."
Nami said,"The world is entering a challenging time where there is a strong obligation on governments to increase tax revenue as a percentage of GDP so as to provide much needed funding for local infrastructure and public services. Nigeria needs to innovate and harness technology to ensure that online transactions are taxed and accounted for.