The Nigeria Revenue Service (NRS) has urged content creators and other professionals in Nigeria’s creative industry to formalise their businesses, obtain tax identification numbers, and maintain proper financial records to access available tax incentives and investment opportunities.
The appeal was made during a tax policy discussion at the Creative Africa Nexus Weekend 2026 in Lagos on Thursday, November 5, as revenue officials explained how the country’s new tax framework could support creative entrepreneurs and encourage businesses to operate within the formal economy.
An Assistant Director in the NRS Field Operation Monitoring Department, Simeon Onyegbula, said business registration and accurate financial records were essential for entrepreneurs seeking to benefit from applicable tax reliefs.
According to a report by The PUNCH on Friday, November 6, Onyegbula advised creative entrepreneurs to register their businesses, obtain tax identification numbers, and comply with relevant tax laws.
He also urged business owners to retain invoices, receipts, ledgers, and other financial documents to substantiate business expenses and determine their taxable profits.
An Assistant Director of Tax at the NRS, Kazeem Lawal, said content creators earning substantial income through social media and digital platforms could limit their commercial opportunities by operating entirely through personal bank accounts without proper financial records.
He explained that formalising a business by incorporating as a corporate entity gives it a separate legal identity, improves credibility, and makes it easier to secure corporate contracts and attract investors. Officials noted that while individual sole proprietors are subject to Personal Income Tax (PIT) administered by State Revenue Services, incorporating an entity opens access to federal corporate incentives under Companies Income Tax (CIT).
Speaking on investment incentives, the NRS Director of Government Business South Directorate, Mustapha Akaje, said qualifying investments in eligible sectors, including the creative industry, could attract a five per cent tax credit on qualifying capital expenditure.
He explained that the incentive was designed to encourage investment in priority sectors, subject to the applicable expenditure thresholds and statutory approval requirements under the Nigeria Tax Act 2025.
Akaje also discussed tax exemptions available to qualifying small companies, including exemption from Companies Income Tax (CIT) and the four per cent development levy.
Under the Nigeria Tax Act 2025, a small company is defined as one with an annual gross turnover of not more than ₦100 million and fixed assets not exceeding ₦250 million. Businesses providing professional services are excluded from this classification.
On Value Added Tax (VAT), Lawal explained that qualifying small businesses were relieved of certain VAT collection responsibilities but could still pay VAT on taxable purchases.
He also said taxpayers wrongly charged VAT could obtain refunds within 30 days without undergoing an audit beforehand, according to the PUNCH report.
The NRS Executive Director of People, Stakeholders and Communication, Obinna Ihedioha, announced an NRS Investment and Tax Advisory Hub to provide practical guidance to creative entrepreneurs during the event.
He also introduced a proposed Creative Economy Tax and Investment Initiative aimed at sustaining engagement on business formalisation, investment opportunities, and tax compliance beyond the event.
Ihedioha said the initiative would encourage collaboration between the revenue service, investors, financial institutions, and development partners to help transform Nigeria’s creative talent into sustainable businesses and employment opportunities.
Nigeria’s creative economy, which includes film, music, fashion, and digital content production, has become an increasingly important source of business opportunities and employment.
The NRS says improving tax awareness and encouraging business formalisation will help creative entrepreneurs access investment opportunities, build sustainable enterprises, and participate more effectively in the formal economy.
