The Nigerian government has confirmed that the new tax regime will capture all sources of income, including those earned from controversial trades such as hookup and internet fraud, popularly known as “Yahoo Yahoo.”
Taiwo Oyedele, chairman of the presidential committee on fiscal policy and tax reforms, made it clear that the new law makes no distinction between legitimate and illegitimate earnings.
What matters, he said, is whether money was made through the exchange of goods or services.
Speaking in a video posted on X, Oyedele noted:
“If somebody is doing runs, they go and look for men to sleep with, that is a service and they will pay tax on it.
“The tax law does not ask whether what you are doing is legitimate or not, it only asks if you have income. Once you do, you pay tax.”
By implication, internet fraudsters, often referred to as Yahoo boys, also fall under the taxable net, since their proceeds are classified as income under the new framework.
Oyedele, however, clarified that financial gifts such as upkeep money sent to family members, friends or strangers do not attract taxes, as they are considered non-exchange transactions.
According to him, only the giver is expected to have already paid tax on their income, while the recipient bears no tax liability.
On June 26, President Bola Tinubu signed into law four key pieces of legislation, the Nigeria Tax Act, the Nigeria Tax Administration Act, the Nigeria Revenue Service (Establishment) Act, and the Joint Revenue Board (Establishment) Act.
These reforms are aimed at widening Nigeria’s tax base, improving compliance, and boosting government revenue.
Tax experts believe the inclusion of controversial income streams signals a new phase in the government’s effort to capture more economic activities within the formal tax net
