CurrentReport Blog The Presidency has announced that under a proposed amendment to the National Identity Management Commission (NIMC) Bill 2024, foreigners earning income in Nigeria will now be required to pay taxes. This disclosure was made by the Special Adviser to the President on Information and Strategy, Bayo Onanuga, during a briefing with State House correspondents on Wednesday in Abuja.
Onanuga stated that the proposed amendment is part of the Economic Stabilisation Bills, which were approved by the Federal Executive Council (FEC) on Monday. These bills are expected to be forwarded to the National Assembly for consideration soon.
He explained that the amendment aims to include all individuals residing and working in Nigeria under the country’s tax structure. “This bill will amend the law that was made some years ago, and it now provides, if the National Assembly passes that bill, that everybody living in Nigeria, foreigners, all of them will now be registered and be given tax identity,” said Onanuga.
He further clarified, “Once you are doing some work here and you are earning income, you will be registered and given tax identity and you will be taxed, and you come under our tax structure. The law that was set up initially precluded foreigners from being registered, and so they were not taxed.”
The proposed NIMC Bill amendment is part of a broader effort by the government to strengthen the country’s economic stability. The Economic Stabilisation Bills include several other legislative changes aimed at improving financial and regulatory frameworks in various sectors.
One of the key components of these bills is the amendment to the laws governing the Nigerian Maritime Administration and Safety Agency (NIMASA) and the Nigerian Ports Authority (NPA). Additionally, the Tertiary Education Trust Fund Amendment Bill 2024, another critical element of the Economic Stabilisation Bills, proposes changes to the Tertiary Education Trust Fund Act.
Under this amendment, 30 percent of the funds from the Tertiary Education Trust Fund would be allocated to the Nigerian Education Loan Fund before disbursement. This is intended to provide a sustainable source of funding for the Nigerian Student Loan Fund, ensuring that more students have access to education financing.
These proposed legislative changes reflect the government’s ongoing efforts to enhance revenue generation and promote economic stability. The taxation of foreigners earning income in Nigeria is expected to significantly broaden the tax base and improve compliance, contributing to the nation’s economic growth.
