Lagos State Government Reveals Reason Why TikToker Peller Must Pay Tax
The Lagos State Government, LASG , has responded to a remark by popular social media entertainer, Habeeb Hamzat popular as Peller, to the effect that the state government is demanding N36 million tax from him.
Reacting to the report, the Special Adviser to Governor Babajide Sanwo-olu on Tax and Revenue, Abdulkabir Ogungbo, said anyone with legitimate income in the state must ensure that he/she pays tax to the state government.
Recall that Peller had during a live stream with singer Tobechukwu Okoh aka Peruzzi, accused the state government of demanding the sum from him, saying it was to high for him to pay.
“The task force said I should pay N36m in tax. I swear to Almighty Allah, I don’t have anything. I only came into the limelight last year. Are you, Peruzzi, even paying tax, and how much is it? Why should I pay N36m? What does that even mean?” Peller lamented.
Speaking to Punch on the issue, Ogungbo said it within the state government powers to collect tax from anyone making legitimate earnings in the state.
“I need to take a look at this particular context in question. But generally, the LIRS is an autonomous body saddled with the responsibility of assessing and giving the best judgment on behalf of the government. We may need to engage the LIRS as an office to know about this particular case. But within the context of personal income, anybody who is legitimately earning, Section 24 of the Nigerian Constitution stipulates that when you earn your living and income legitimately, you are meant to declare that honestly to the authorities. So the context around the size, the quantum and what have you, needs to be properly investigated and we can revert,” he said.
When quizzed on taxation for content creators, the SA explained that there are new reforms guiding digital assets and virtual transactions.
Ogungbo said, “Naturally, the law allows for personal income tax, meaning that when you earn a living or earn anything from what you do legitimately, you are supposed to pay tax. So from that context, irrespective of the location, either virtually or physically, you’re meant to remit your tax to the approved authority, which is the LIRS. But from the context of around digital assets and their complementary vocations, which mainly talk about this virtual transaction, the new reforms take care of that. But as it relates to personal income tax, irrespective, you’re meant to pay tax.”
He added, “So it’s about the legitimacy of your residence, where you stay. When you stay here, we assume that your infrastructure usage and otherwise, you earn it. You can be here and be having online business, so for that reason, if you earn honestly here, and there is no proof that you pay the same tax to another jurisdiction, for instance, maybe you’re based outside the country, you have to prove to the authority here that you were paying to the other state or other national. But if your income, which you earn here virtually or online and you stay here, and you want to do something with the Lagos State Government, then you’re bound to remit your tax here.
“But I do not have this particular case on my table for me to determine. Because we have a body (the LIRS) that is autonomous and that is very efficient in what they do. So Let me investigate and revert to you.”
This is not the first time the state government has clashed with popular entertainers on the issue. In 2023, popular Nollywood actress, Iyabo Ojo had declined to pay the state government over N18 million demanded form her for tax.
Insisting that she was ready to be arrested Ojo had described the demand as outrageous, saying her income was not as huge as people may have thought.
“Make i go thief ni? I ask again, “How do you (sic) people come up with such outrageous bills,” Ojo queried.
“I don’t know how much you think I get paid. Hence, your team will come up with this conclusion.”
“I have single-handedly raised my kids and so many others, plus myself without a single help from the government. Yet you feel so entitled to reap over 100 per cent from where you did not sow.”
“Nothing is working right in this country, but yet you feel the need to take from where you have not sown.”
