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Tax

Headlines

Prostitutes will pay tax – Taiwo Oyedele

by Folarin Kehinde September 30, 2025
written by Folarin Kehinde

The Federal Government has said that ‘runs girls’ (commercial sex workers) will pay tax under the new laws.

Oyedele, Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, said this during an engagement session at the Redeemed Christian Church of God, City of David, Lagos.

The tax expert said: “If somebody is doing runs girls (sex worker), right, they go and look for men to sleep with. You know that’s a service. They will pay tax on it.”

According to him, the new laws do not differentiate between legitimate and illegitimate income sources.

“It just asks you whether you have an income. ‘Did you get it from rendering a service or providing a good?’ Then, you pay tax,” he explained.

Explaining further, Oyedele said money sent to relatives, friends or even strangers are not taxable, as they are considered as gifts.

He said: “You earn a certain amount of money and you have to send upkeep to your cousin, your brother, even a stranger, it doesn’t really matter.

“If the amount you are sending is money you are giving to them not because they have done something for you, then it is a gift. We call it a non-exchange transaction. That is not taxable.”

Recall that the new (reformed) laws are the Nigeria Tax Act, the Nigeria Tax Administration Act, the Nigeria Revenue Service (Establishment) Act, and the Joint Revenue Board (Establishment) Act.

 

September 30, 2025 0 comments
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Senate
Headlines

JUST IN: Senate passes tax reform bills

by Folarin Kehinde May 7, 2025
written by Folarin Kehinde

The two bills passed are the Nigeria Revenue Service Establishment Bill and the Joint Revenue Board Establishment Bill.

These bills were passed after the senators reviewed the report of an ad hoc committee chaired by Niger East Senator Sani Musa. The committee was constituted to address controversies and disputes surrounding the proposed reforms. On Wednesday, each clause of the bills were debated and considered at the Committee of the Whole.

The Senate President, Godswill Akpabio, announced passage of the bills after a majority of the senators supported them through voice vote.

Mr Akpabio said the Senate will set up a committee to harmonise its decision on the bills wit the version passed by the House of Representatives in March. Once harmonised, the unified bills will be transmitted to President Tinubu for assent.

The senate president said the remaining two bills, the Nigeria Tax Bill 2024 and the Tax Administration Bill, would be passed on Thursday.

May 7, 2025 0 comments
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Business

BREAKING: House of Representatives approves Tinubu’s tax reform bills

by Folarin Kehinde March 13, 2025
written by Folarin Kehinde

The House of Representatives has approved the four tax reform Bills earlier transmitted by President Bola Ahmed Tinubu, as it considered and adopted report by its special committee on the proposals on Thursday March 13, 2025.

They include a Bill for an Act to provide for the Assessment, Collection of, and Accounting for Revenue Accruing to the Federation, Federal, States and Local Governments; Prescribe the Powers and Functions of Tax Authorities, and for Related Matters, and a Bill for an Act to Repeal the Federal Inland Revenue Service (Establishment) Act, No.13, 2007 and Enact the Nigeria Revenue Service (Establishment) Bill to Establish Nigeria Revenue Service, charged with Powers of Assessment,
Collection of, and Accounting for Revenue Accruable to the Government of the Federation and for Related Matters.

The others are a Bill for an Act to Establish Joint Revenue Board, the Tax Appeal Tribunal and the Office of the Tax Ombud, for the Harmonisation, Coordination and Settlement of Disputes arising from Revenue Administration in Nigeria and for Related Matters, and a Bill for an Act to Repeal Certain Acts on Taxation and Consolidate the Legal Frameworks Relating to Taxation and Enact the Nigeria Tax Act to Provide For Taxation of Income, Transactions and Instruments.

Pressing the report for consideration, Chairman of the Finance Committee, James Faleke, said due diligence had been done as issues of public concerns have been addressed.

Details loading…

March 13, 2025 0 comments
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Breaking News
Headlines

BREAKING: NEC Recommends Withdrawal of tax Reform Bill

by Folarin Kehinde October 31, 2024
written by Folarin Kehinde

The National Economic Council (NEC) has advised that the Tax Reform Bill, currently in the National Assembly, be withdrawn.

The NEC is led by Vice-President Kashim Shettima and includes state governors as members.

After their meeting on Thursday, Oyo State Governor Seyi Makinde disclosed that the NEC decided to withdraw the bill due to disagreements and concerns raised by various groups.

More to follow…

October 31, 2024 0 comments
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Business

BREAKING: Amidst Hardship, FG move to increase tax by 10%

by Folarin Kehinde September 3, 2024
written by Folarin Kehinde

Taiwo Oyedele, Chairman Presidential Fiscal Policy and Tax Reforms Committee, says the committee is proposing a law to the National Assembly to increase valued added tax from the current 7.5% to 10%.

Oyedele stated this during an interview on Channels TV’s Politics Today.

He also said his committee was working to consolidate multiple taxes in Nigeria to ensure tax reduction.

Oyedele added the tax law the committee drafted would be submitted to the National Assembly.

He said, “We have significant issues in our tax revenue. We have issues of revenue generally which means tax and non-tax. You can describe the whole fiscal system in a state that is in crisis.

“When my committee was set up, we had three broad mandates. The first one was to look at governance: our finances as a country, borrowing, coordination within the federal government and across sub-national.

“The second one was revenue transformation. The revenue profile of the country is abysmally low. If you dedicate our whole revenue to fixing roads it will be insufficient. The third is on government assets.

“The law we are proposing to the National Assembly has the rate of 7.5% moving to 10% from 2025. We don’t know how soon they will be able to pass the law. Then subsequent increases are also indicated in terms of the year they will kick in.

“While we are doing that, we have a corresponding reduction in personal income tax. Anybody that is earning about N1.5 million a month or less, they will see their personal income tax come down. Companies will have income tax rate come down by 30% over the next two years to 25%. That is a significant reduction.

“Other taxes they pay are quite many: IT levy, education tax, etc. All these we are consolidating into a single one. They will pay 4% initially. That will go down to 2& in the next few years.”

September 3, 2024 0 comments
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Headlines

Telecommunications Subscribers To Pay 5% Tax On All Services

by Folarin Kehinde July 29, 2022
written by Folarin Kehinde

President Muhammadu Buhari regime has finalized plans to levy a 5% percent Excise Duty on all telecommunications services, including calls, SMS, and data services, a move that would further compound Nigerians’ economic woes

Finance Minister Zainab Ahmed shared the worrying news at a stakeholders’ forum organized by the Nigerian Communications Commission, NCC in Abuja on Thursday. Ms Ahmed said the decision was motivated by the federal government’s desperation to augment declining income from oil and gas.

 “The issue of revenue is not something that need to be shy away from, our revenue can no longer take care of our needs as a country,” Ms Ahmed asserted. “Also, Nigeria is no longer making enough money in oil revenue hence the attention is shifting to non-oil revenue.”

Ms Ahmed, represented by Musa Umar, Assistant Director, Tax and Policy, urged stakeholders to support the implementation of the five per cent exercise duty on telecommunications services.

The minister defended the recently enacted tax by claiming that several African nations, including Malawi, Tanzania, Uganda, and others, have successfully tapped into this method of generating revenue.

She did however assure Nigerians, that the government is committed to implementing the regulation in a seamless manner that will not negatively impact Nigerians.

In response to the development, Engr. Gbenga Adebayo, Chairman of the Association of Licensed Telecommunications Operators of Nigeria, ALTON, described the new tax regime as a strange move and unusual development.

He bemoaned that the newly imposed tax was a mishmash of 39 different taxes payable by the country’s telecom operators, implying that the new tax burden would be passed on to subscribers.

“It is a strange move; it appears a bit unusual. Excise duty is supposed to be apportioned to goods and products, but we are surprised this is on services,” he said.

 “We currently pay a lot of taxes, running into 39 of them, so we can’t add more to our existing burden. We won’t be able to absolve this on behalf of subscribers. The five per cent excise duty will be paid by the subscribers. It will collect by the operators on all voice and data services including OTT and remitted to the Nigerians Customs”, he added.

It was reported that telecommunication companies under the umbrella of ALTON recommended an upward adjustment in call and SMS tariffs to cushion the increasing cost of operation in Nigeria.

The association claimed that the telecommunications industry had been financially harmed by an economic downturn that occurred in 2020 and the ongoing Russia-Ukraine war.

They claimed the war had resulted in a 35 per cent increase in their operating expenses due to an increase in energy costs

July 29, 2022 0 comments
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Investigation

Revealed: How AEDC Spent Over N16b In a day On Admin. Expenses; Allegedly Evade Tax and Use Inflated Costs to Shortchange FG (Part 1)

by Leading Reporters March 30, 2021
written by Leading Reporters

Financial records unveiled by the League of Patriot, exclusively obtained by LeadingReporters, has alleged that AEDC uses different accounts, mainly domiciled with the United Bank of Africa, UBA and recently, Fidelity Bank to perpetrate these nefarious acts. 

The accounts include AEDC Impress Funding Account with UBA.  Account No. 22174094498.  This account has become a conduit through which Billions of Naira are fleeced under the subheading – Operational imprest.  For instance, between October and December, 2018, a total of N1,579,015,000 was mopped into the account as impress.

It was John Perkins, the author of “Confession of An Economic Hitman” who said that electricity, industrial parks, highways and ports are the things that made huge profits for companies that are sent to wreak havocs on the economies of target-nations.

Perkins’s confession in his widely-read book gives a clue to why Nigerians, the Federal Government and electricity consumers would remain at the mercy of companies like Abuja Electricity Distribution Company AEDC. Mr. Perkins went further to expose how they coopt local greedy economic jackals in government offices, the banking and other strategic sectors in any country of their interest to ensure that their appetite to ruin and hold the people in perpetual poverty are sealed.

AEDC activities, according to investigation carried out by group of concerned Nigerians under the umbrella of League of Patriots revealed that the company is structured to fleece Nigeria, exploit the people, defraud the system, evade tax and by extension divert all the proceeds of their loots to their agents both locally and internationally.

The group has promised to work with the anti-corruption agencies, especially the Economic and Financial Crime Commission under its new leadership that has expressed interest to institute a probe in the power sector.

Another Imprest Account as claimed by Leagues of Patriots is Account No. 1017666012, with United Bank of Africa, which is used for these alleged nefarious activities. Investigation carried out by the group revealed further that Account No. 1019034680 with UBA is used to sweep funds which are later diverted to yet another UBA account No 1017547366.

Furthermore, yet another account uncovered by the group is a UBA Account No.1017681365, allotted to AEDC WAMBA, Nasarawa State.  A close investigation revealed that the said account is not linked to any TIN no, which makes it hard for Government to collect its tax from AEDC.

AEDC Okene Area Office with Account No 1021027984 with UBA is one of the many accounts of AEDC that were structured to evade tax as all proceeds from Okene axis were technically structured to evade tax.

Kabba AEDC Account No 1017805387 is another porous and specially structured account allegedly used in fleecing the Federal Government.  Recall that the Federal Government of Nigeria has 40% stake in AEDC through its agency, Bureau of Public Enterprises.  The agency, according to League of Patriots has become a willing partner in crime in short-changing the Government and the people of Nigeria.

All efforts to get AEDC to address the issue proved abortive as no replies were given to mails sent to them, for official response despite series of promises from the communication and accounts units of AEDC to do so

March 30, 2021 0 comments
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