Sex Workers Earn from Services Rendered, they Must Pay Taxes – FG

Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, has said Nigerians who earn income from sex work and other activities often considered “illegitimate” will be liable to pay taxes under the country’s new fiscal regime.

Oyedele explained that the reforms, which take effect from January 2026, are designed to broaden Nigeria’s tax base by capturing all forms of income, irrespective of their source.

“The law does not distinguish between legitimate and illegitimate income. What matters is whether you earned money from providing goods or services,” he stated, adding that the reforms would make taxation more equitable and transparent.

He noted that individuals operating in the informal sector, including those involved in sex work, popularly known as “runs”, are expected to file self-declarations and remit appropriate taxes, provided their annual earnings exceed the exemption threshold. People earning below the benchmark, estimated at less than N800,000 per year, will not be taxed.

Oyedele stressed that government intends to use available data, such as bank transactions and investment records, to improve compliance, while urging Nigerians to view taxation as a civic responsibility rather than a punitive measure.

Analysts, however, say the move raises difficult questions, given that prostitution remains criminalised in many parts of the country. They caution that while taxing income may boost government revenue, it does not erase the legal risks or social stigma associated with such activities.

The tax chief maintained that the focus of the reforms is fairness. “If we want a country that works for everyone, then everyone who earns must contribute,” he said.