Tech Giants Contribute $1.5 Billion in Taxes to Nigeria in First Half of 2024
In a significant boost to Nigeria’s digital economy, foreign digital companies, including major players like Google, X (formerly Twitter), Microsoft, and TikTok, have collectively paid over N2.55 trillion (approximately $1.5 billion) in taxes during the first half of 2024. The announcement was made by the National Information Technology Development Agency (NITDA), which highlighted the importance of robust regulatory frameworks in ensuring compliance and promoting revenue growth within the sector.
In a statement the spokesperson of NITDA, Hadiza Umar applauded the compliance of the tech giants with the Code of Practice for Interactive Computer Service Platforms and Internet Intermediaries, a set of guidelines jointly issued by the Nigerian Communications Commission (NCC), the National Broadcasting Commission (NBC), and NITDA itself. This Code aims to enhance online safety and effectively manage harmful content on various platforms.
The compliance report for 2023 indicates that these platforms have made significant strides in addressing user safety. Key statistics from the report include more than 4.12 million registered complaints, over 65.85 million pieces of content taken down, approximately 379,000 items removed and subsequently re-uploaded after user appeals, and about 12.1 million closed or deactivated accounts.
NITDA noted the positive impact of these efforts in creating a safer digital environment for both Nigerian and non-Nigerian users. Despite the progress, NITDA emphasized the necessity for ongoing collaboration and innovation to tackle emerging challenges in the digital space. The agency remains committed to working with stakeholders to enhance user safety measures, promote digital literacy, and ensure transparency and trust within the online ecosystem.
Tech Digest reports that this substantial tax contribution by foreign tech firms signals the growing influence of digital enterprises in Nigeria’s economy and highlights the effectiveness of regulatory initiatives in fostering a responsible digital landscape.
