Skype Begins Collecting VAT for Nigeria

Skype Begins Collecting VAT for Nigeria

Skype has started collecting VAT for Nigeria.  It is important to note that the government has not even done anything but these global firms are already moving ahead to rectify the tax paralysis. While many do not think that Nigeria needs to ask for this small money, I want to continue to encourage the government to make its case. Nigeria carries the African flag as the largest economy and we have the capacity to be heard.

I expect Google to follow on its Play Store and just like that, we could get extra $millions. Expect Netflix to fix its own issues. This is not protectionism; this is fair commerce and there is nothing wrong with that.

Sure – I get it, it changes nothing because the money will be mismanaged. That is a topic for another day. But today, we simply want the money shipped to Nigeria first.


Click to register for Tekedia Mini-MBA (Sept 13 – Dec 6, 2021): online, self-paced, $140 (or N50,000 naira). Full curriculum here.

Click to join Tekedia Capital Syndicate and build Next Africa with a minimum of $10,000 co-investment in startups.

Share this post

2 thoughts on “Skype Begins Collecting VAT for Nigeria

  1. Huh, ok, so, Nigerian Government will tax Skype, Skype will increase charges/ask its Nigerian customers to pay Skype more money for the same service so that Skype can use that extra money from the Nigerian customers to pay the Nigerian Government. And the Nigerian Government will likely mismanage the money like you noted.

    So, basically, it’s the Nigerian customers that are paying money to the Nigerian Government with Skype making a profit (and probably increasing their profit).


    1. That is not a balanced way of looking at it. If A is a Lagos company offering cloud computing services to Nigerians. B is a New York company offering the same services. If A has to pay VAT and B does not have to pay, A will struggle against B. Where Nigeria can collect VAT, it needs to apply to ALL – local and foreign – so that local companies do not lose out. It is fair and balanced.


Post Comment