Nigerian Tax Law 2025: Remote Workers, Creators & Oil Firms Must Pay Tax in the Currency They Earn

The Nigerian Tax Administration Act (NTAA) 2025 has introduced a groundbreaking shift in how taxes will be assessed and collected.

Effective January 2026, if you earn in dollars, pounds, euros, or even cryptocurrency, your tax obligations will now be payable in that same currency. For oil and gas companies, taxes will strictly be paid in U.S. dollars.

This reform, anchored in Section 39 of the NTAA 2025, signals that Nigerian taxes will now follow the money, wherever it comes from.

Who Is Affected by Section 39?

This provision targets individuals and companies earning foreign or non-naira income. A few key groups include:

1. Remote Workers & Freelancers

   • Nigerians working for foreign employers and being paid in dollars, pounds, or euros.

   • Example: A Lagos-based software engineer working remotely for a U.S. company will now pay tax in USD.

2. Digital Content Creators & AdSense Earners

   • YouTubers, bloggers, and influencers who receive payments via AdSense or other platforms in foreign currency.

   • Example: If Google pays you $2,000 a month, your tax liability will be calculated and paid in USD.

3. Crypto Traders & Virtual Asset Holders

   • Profits made from cryptocurrency trading or payments received in Bitcoin, Ethereum, or stablecoins are now taxable — and payable in that digital currency.

4. Oil & Gas Operators

   • The law specifically mandates oil and gas companies to pay all taxes strictly in U.S. dollars.

Why Did the Government Introduce This?

The government is tightening tax collection by linking it directly to the currency of income. The goals are:

• Reduce revenue leakage from foreign currency earnings.

• Increase forex inflow into Nigeria’s system.

• Align taxation with global best practices in a digital economy.

• Ensure fair contribution from fast-growing sectors like tech, crypto, and digital content.

What This Means for You

If you fall into any of these categories, here’s what you should do:

1. Track Your Earnings in Original Currency
   Stop converting everything to naira in your records. Maintain proper USD, GBP, EUR, or crypto income statements.

2. Open Domiciliary or Digital Wallet Accounts
   Since taxes will be deducted in your earning currency, it’s important to keep those funds accessible in that form.

3. Engage Professional Tax Advisory
   Currency-based taxation is new terrain. Work with tax professionals who understand both Nigerian law and international digital taxation.

4. Stay Ahead of Compliance Deadlines
   January 2026 is the effective date. Preparing early will save you from penalties.

Key Takeaway

The NTAA 2025 has made it clear: your taxes will follow your money, wherever it comes from. Whether you’re a remote worker, YouTuber, crypto trader, or oil company, Nigeria’s new tax law ensures that your obligations are calculated in the exact currency you earn.

How FSC Can Help

At FSC Professional Services, we are already guiding clients in:

• Setting up compliant foreign-currency tax reporting systems
• Helping creators and freelancers document dollar/crypto earnings
• Advising oil and gas firms on USD tax compliance
• Preparing businesses for smooth transition ahead of January 2026

Final Word

Don’t wait until the law kicks in. Start aligning your accounting systems, wallets, and records today.

📌 Need help understanding how Section 39 affects you?
👉 Visit www.fscprofessionals.com or email isaac@fscprofessionals.com for tailored tax guidance.